Moonbeam Company manufactures toasters. For the first 8 months of 2017, the company reported the following...
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Moonbeam Company manufactures toasters. For the first 8 months of 2017, the company reported the following operating results while operating at 75% of plant capacity: Sales (350,400 units) $4.372,000 Cost of goods sold 2,603,000 Gross profit 1,769,000 Operating expenses 840,400 Net income $928.600 Cost of goods sold was 65% variable and 35% fixed; operating expenses were 75% variable and 25% fixed. In September, Moonbeam Company receives a special order for 20,100 toasters at $7.59 each from Luna Company of Ciudad Juarez. Acceptance of the order would result in an additional $3,100 of shipping costs but no increase in fixed costs. (a) Prepare an incremental analysis for the special order. (Round computations for per unit cost to 4 decimal places, eg. 15.2500 and all other computations and final answers to the nearest whole dollar, eg. 5,725. Enter negative amounts using either a negative sign preceding the number eg.-45 or parentheses eg. (45).) Revenues Cost of goods sold Operating expenses Net income $ Reject Order Accept Order i 152559 Net Income Increase (Decrease) 152559 i DFocus Moonbeam Company manufactures toasters. For the first 8 months of 2017, the company reported the following operating results while operating at 75% of plant capacity: Sales (350,400 units) $4.372,000 Cost of goods sold 2,603,000 Gross profit 1,769,000 Operating expenses 840,400 Net income $928.600 Cost of goods sold was 65% variable and 35% fixed; operating expenses were 75% variable and 25% fixed. In September, Moonbeam Company receives a special order for 20,100 toasters at $7.59 each from Luna Company of Ciudad Juarez. Acceptance of the order would result in an additional $3,100 of shipping costs but no increase in fixed costs. (a) Prepare an incremental analysis for the special order. (Round computations for per unit cost to 4 decimal places, eg. 15.2500 and all other computations and final answers to the nearest whole dollar, eg. 5,725. Enter negative amounts using either a negative sign preceding the number eg.-45 or parentheses eg. (45).) Revenues Cost of goods sold Operating expenses Net income $ Reject Order Accept Order i 152559 Net Income Increase (Decrease) 152559 i DFocus
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