Nowtown Sunglasss sell for about $154 per pair. Suppose that the company incurs the following average costs per pair 0 EEE (Click the icon to view the cost information.) Nowlown has enough idle capacty to accept a one-time-only special order from Water Shades for 17,000 pairs of sunglasses at $80 per pair. Newtown weill not inour any variable solling expenses for the order Read he OA wil Newtown's oner ostoners find ot about the ower sale price Newtown ofered to water Shades? r so, wil these ether astomen demand ear . How wil Newtown's corpeeton react? Wil they retaiate by ating their prices and starting . proe w? O C. WI lowering the sale price tamish Newtown's image as a high-quality brand? pai? O D. All of the abeve oc. None of the above Requirement 2.Kewtown's mahating manager, Peer Kyler, argues aganst ocoeoting the speal order because te der poofsaisles-than Newto-'s staf accountants, to explain whether his analysis is oomect. What would you say? aat to te -Ky--yo. " Niber's When deoiding whether to accept a special order, we should compare the toour decision. This is why compang the $80 price water Shades ofined us wth our S83 toa"cost of making sung asses is Costs that we w will incur whether or not we il the arder are The additional revenues and the additional costs that we will incur to ill the special order are the Wator Shades special order, we will inour only$ per pair that Water Shades offered Therelone, we should the special order to operating inoome reievant we accept of additonal cost per pair, which is than the $80 the company's Choose from any list or enter any number in the input Sields and then continue to the next question Newtown Sunglasses sell for about $154 per pair. Suppose that the company incurs the following average costs per pair (click the icon to view the cost information.) Newtown has enough idle capacity to accept a one-time-only special order from Water Shades for 17,000 pairs of sunglasses at $80 per pair. Newtown will not incur any Read the requirements O A. Will Newtown's other customers find out about the lower sale price Newtown offered to Water Shades? If so, will these other customers demand lower sale prices O B. How will Newtown's competitors react? Will they retaliate by cutting their prices and starting a price war? O c. wil lowering the sale price tarnish Newtown's image as a high-quality brand? OD, Allofthe above O E. None of the above Requirements Requirement 2. Newtown's marketing manager, Peter staff accountants, to explain whether his analysis is co 1. How would accepting the order affect Newtown's operating income? In addition to the special When deciding whether to accept a special order, we to our decision. This is why comparing the $80 price W order's effect on profits, what other (longer-term qualitative) factors should Newtown's managers consider in deciding whether to accept the order? 2. Newtown's marketing manager, Peter Kyler, argues against accepting the special order because the offer price of $80 is less than Newtown's $83 cost to make the sunglasses. Kyler asks you, as one of Newtown's staff accountants, to explain whether his analysis is correct. What would you say? The additional revenues and the additional costs that the Water Shades special order, we will incur only$ per pair that Water Shades offered. Therefore, we sho operating income. Print Done Choose from any list or enter any number in the input fields and then continue to the next question Newtown Sunglassos sell for about $154 EfB (Cick the ioon to view the cost information.) Newtown has enough idle Read the requirements per pair. Suppose that the company inours the following average costs per pair capacity to accopt a one-time-only special order from Water Shades for 17,000 pairs of sunglasses at $80 per pair Newtowm will not inour any variable selling expenses for the ader Requirement 1. How would accepting the order aflect Newtown's operating income? In addition to the whether to accept the order? special onder's effecet on profits,what other (ongen term qualtatlive) factors should Neowtcan's managers consider in deciding Prepare the analysis to delermine the effect on operating income. (Enter decreases to profits with a parenthesos or minus sign) Expected increase in revenues Expected increase in expenses sunglasses x Expected n operating income ln0ddison to the special er's effoctonprhts, what other 0onger-term qualtative) factors should Newtown's ma rs cosder n deciding whether to accept reorder? A. WilNewtown's other customers fnd out abot the lower sale price Newtown onered to Water Shades? so, wil these ther customers dnad lower sale D ces? O B. How will Newtown's competitors react? Will they retaliahe by outing their prices and starsing a price war? O C. Will lowering the sale price tamish Newtown's image as a high quality brand? O D. All of the above O E. None of the above Renuirement , hiwhwn's markntro, manan" Pek" Kler " aname, wrwinn iha smial nie h ra.mm merMw ne, n' Chnnse tmm anw list or enter any number in the input fields and then continue to the next question Nowtown Sunglasss sell for about $154 per pair. Suppose that the company incurs the following average costs per pair 0 EEE (Click the icon to view the cost information.) Nowlown has enough idle capacty to accept a one-time-only special order from Water Shades for 17,000 pairs of sunglasses at $80 per pair. Newtown weill not inour any variable solling expenses for the order Read he OA wil Newtown's oner ostoners find ot about the ower sale price Newtown ofered to water Shades? r so, wil these ether astomen demand ear . How wil Newtown's corpeeton react? Wil they retaiate by ating their prices and starting . proe w? O C. WI lowering the sale price tamish Newtown's image as a high-quality brand? pai? O D. All of the abeve oc. None of the above Requirement 2.Kewtown's mahating manager, Peer Kyler, argues aganst ocoeoting the speal order because te der poofsaisles-than Newto-'s staf accountants, to explain whether his analysis is oomect. What would you say? aat to te -Ky--yo. " Niber's When deoiding whether to accept a special order, we should compare the toour decision. This is why compang the $80 price water Shades ofined us wth our S83 toa"cost of making sung asses is Costs that we w will incur whether or not we il the arder are The additional revenues and the additional costs that we will incur to ill the special order are the Wator Shades special order, we will inour only$ per pair that Water Shades offered Therelone, we should the special order to operating inoome reievant we accept of additonal cost per pair, which is than the $80 the company's Choose from any list or enter any number in the input Sields and then continue to the next question Newtown Sunglasses sell for about $154 per pair. Suppose that the company incurs the following average costs per pair (click the icon to view the cost information.) Newtown has enough idle capacity to accept a one-time-only special order from Water Shades for 17,000 pairs of sunglasses at $80 per pair. Newtown will not incur any Read the requirements O A. Will Newtown's other customers find out about the lower sale price Newtown offered to Water Shades? If so, will these other customers demand lower sale prices O B. How will Newtown's competitors react? Will they retaliate by cutting their prices and starting a price war? O c. wil lowering the sale price tarnish Newtown's image as a high-quality brand? OD, Allofthe above O E. None of the above Requirements Requirement 2. Newtown's marketing manager, Peter staff accountants, to explain whether his analysis is co 1. How would accepting the order affect Newtown's operating income? In addition to the special When deciding whether to accept a special order, we to our decision. This is why comparing the $80 price W order's effect on profits, what other (longer-term qualitative) factors should Newtown's managers consider in deciding whether to accept the order? 2. Newtown's marketing manager, Peter Kyler, argues against accepting the special order because the offer price of $80 is less than Newtown's $83 cost to make the sunglasses. Kyler asks you, as one of Newtown's staff accountants, to explain whether his analysis is correct. What would you say? The additional revenues and the additional costs that the Water Shades special order, we will incur only$ per pair that Water Shades offered. Therefore, we sho operating income. Print Done Choose from any list or enter any number in the input fields and then continue to the next question Newtown Sunglassos sell for about $154 EfB (Cick the ioon to view the cost information.) Newtown has enough idle Read the requirements per pair. Suppose that the company inours the following average costs per pair capacity to accopt a one-time-only special order from Water Shades for 17,000 pairs of sunglasses at $80 per pair Newtowm will not inour any variable selling expenses for the ader Requirement 1. How would accepting the order aflect Newtown's operating income? In addition to the whether to accept the order? special onder's effecet on profits,what other (ongen term qualtatlive) factors should Neowtcan's managers consider in deciding Prepare the analysis to delermine the effect on operating income. (Enter decreases to profits with a parenthesos or minus sign) Expected increase in revenues Expected increase in expenses sunglasses x Expected n operating income ln0ddison to the special er's effoctonprhts, what other 0onger-term qualtative) factors should Newtown's ma rs cosder n deciding whether to accept reorder? A. WilNewtown's other customers fnd out abot the lower sale price Newtown onered to Water Shades? so, wil these ther customers dnad lower sale D ces? O B. How will Newtown's competitors react? Will they retaliahe by outing their prices and starsing a price war? O C. Will lowering the sale price tamish Newtown's image as a high quality brand? O D. All of the above O E. None of the above Renuirement , hiwhwn's markntro, manan" Pek" Kler " aname, wrwinn iha smial nie h ra.mm merMw ne, n' Chnnse tmm anw list or enter any number in the input fields and then continue to the next
