Markson Company had the following results of operations for the past year: Per Unit $ 20.00 Annual Total $ 184,000 Contribution margin income statement Sales (9,200 units) Variable costs Direct materials Direct labor Doverhead Contribution margin Fixed costs Fixed overhead Income 4.25 6.00 2.00 7.75 39,100 55,200 18,400 71,300 4.25 $ 3.50 39,100 $ 32,200 A foreign company offers to buy 2,600 units at $14 per unit. In addition to variable manufacturing and administrative costs, selling these units would increase fixed overhead by $2,080 for the purchase of special tools. Markson's annual productive capacity is 13,800 units. If Markson accepts this additional business, its profits will: Multiple Choice Prev 1 of 10 Next > TB MC Qu. 23-116 (Algo) Pauley Company needs to determine... Pauley Company needs to determine a markup for a new product. Pauley expects to sell 15,000 units and wants a torget profit of $16 per unit. Additional information is as follows: Variable costs per unit Fixed Costs (total) Direct materials $ 2e Overhead $ 55,150 Direct labor 21 General and administrative 52, 150 Overhead 14 General and administrative 23 Using the variabile cont method. What markup percentage to variable cost should be used? Masi choice TB MC Qu. 23-109 (Algo) Carns Company is considering... Carns Company is considering eliminating its Small Tools Division, which reported a loss for the prior year of $165,000 as shown below. Segment Income (Loss) Sales $ 1,390, een Variable costs 1,255, eee Contribution margin 135,000 Fixed costs 3ee, eae Income (loss) $ (165,eee) if the Small Tools Division is dropped, all of its variable costs are avoidable, and $105,000 of its fixed costs are avoidable. The impact on Carns's Income from eliminating the Small Tools Division would be: Multiple Choice $100.000 decise $30.000 decrease