K 1. The PJ Company manufactures slippers and sells them at $13 a pair. Variable manufacturing...
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K 1. The PJ Company manufactures slippers and sells them at $13 a pair. Variable manufacturing cost is $5.00 a pair, and allocated fixed manufacturing cost is $2.50 a pair. It has enough idle capacity available to accept a one-time only special order of 25,000 pairs of slippers at $7 50 a pair PJ will not incur any marketing costs an a result of the special order What would the effect on operating income be if the special order could be accepted without affecting normal sales (a) 50, (b) $62,500 increase. (c) $125,000 Incas $187,500 increase? Show your calculations. 2. The St. Paul Company manufactures Part No. 498 for use in its production line. The manufacturing cost per unit for 25,000 units of Part No. 490 is an follows (Click to see the manufacturing cost per unit.) Read part 2's requirement () 1. The PJ Company manufactures slippers and sells them at 513 a pair. Variable manufacturing cost is $5.00 a pair, and allocated foxed manufacturing cost is $2.50 a pair. It has enough idle capacity available to accept a one-time-only special order of 25,000 pairs of slippers at $7.50 a pair PJ will not incur any marketing costs as a result of the special order What would the effect on operating income be if the special order could be accepted without affecting normal sales: (a) $0, (b) $62,500 increase, (c) $125,000 increase, or (d) $187,500 increase? Show your calculations. Begin by selecting the labels to calculate the effect on operating income and then enter in the supporting calculations. x units in special order Effect on operating income Clear all Check answ K 1. The PJ Company manufactures slippers and sells them at $13 a pair. Variable manufacturing cost is $5.00 a pair, and allocated fixed manufacturing cost is $2.50 a pair. It has enough idle capacity available to accept a one-time only special order of 25,000 pairs of slippers at $7 50 a pair PJ will not incur any marketing costs an a result of the special order What would the effect on operating income be if the special order could be accepted without affecting normal sales (a) 50, (b) $62,500 increase. (c) $125,000 Incas $187,500 increase? Show your calculations. 2. The St. Paul Company manufactures Part No. 498 for use in its production line. The manufacturing cost per unit for 25,000 units of Part No. 490 is an follows (Click to see the manufacturing cost per unit.) Read part 2's requirement () 1. The PJ Company manufactures slippers and sells them at 513 a pair. Variable manufacturing cost is $5.00 a pair, and allocated foxed manufacturing cost is $2.50 a pair. It has enough idle capacity available to accept a one-time-only special order of 25,000 pairs of slippers at $7.50 a pair PJ will not incur any marketing costs as a result of the special order What would the effect on operating income be if the special order could be accepted without affecting normal sales: (a) $0, (b) $62,500 increase, (c) $125,000 increase, or (d) $187,500 increase? Show your calculations. Begin by selecting the labels to calculate the effect on operating income and then enter in the supporting calculations. x units in special order Effect on operating income Clear all Check answ
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