Question
K-Too Everwear Corporation can manufacture mountain climbing shoes for $32.15 per pair in variable raw material costs and $23.10 per pair in variable labor expense.
K-Too Everwear Corporation can manufacture mountain climbing shoes for $32.15 per pair in variable raw material costs and $23.10 per pair in variable labor expense. The shoes sell for $154 per pair. Last year, production was 110,000 pairs. Fixed costs were $1,255,000. |
What were total production costs? |
Total production cost | $ |
What is the marginal cost per pair? (Round your answer to 2 decimal places. (e.g., 32.16)) |
Marginal cost per pair | $ |
What is the average cost per pair? (Round your answer to 2 decimal places. (e.g., 32.16)) |
Average cost per pair | $ |
If the company is considering a one-time order for an extra 5,000 pairs, what is the minimum acceptable total revenue from the order? |
Total revenue | $ |
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