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Need help with this. ork Help Seve & Exit Submlt Check my work Imperial Jlewelers manufactures and sells a gold bracelet for $40200. The company's
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ork Help Seve & Exit Submlt Check my work Imperial Jlewelers manufactures and sells a gold bracelet for $40200. The company's accounting system says that the unit product cost for this bracelet is $266 00 as shown below 144 Direct materlals Direct labor Unit product cost The members of a wedding party have approached Imperial Jewelers about buying 25 of these gold bracelets for the discounted price of $36200 each. The members of the wedding party would like special filngree applied to the bracelets that would require Imperial Jewelers to buy a special tool for $462 and that would increase the direct meterials cost per bracelet by $9 The special tool would have no other use once the special order is completed To analyze this special order opportunity, Imperial Jewelers has determined that most of its manufacturing overhead is fixed and unaffected by veriations in how much jewelry is produced in any given period. However, $1000 of the overhead is variable with respect to the number of bracelets produced. The company also believes that accepting this order would have no effect on its obility to produce and sell jewelry to other customers. Furthermore, the company could futll the wedding perty's order using its Required 1 What is the financial advantage (disadvantaoe) of acceotina the special order from the weddina partv? Step by Step Solution
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