Question
Oriole Co. sells product P-14 at a price of $52 a unit. The per-unit cost data are direct materials $16, direct labour $11, and overhead
Oriole Co. sells product P-14 at a price of $52 a unit. The per-unit cost data are direct materials $16, direct labour $11, and overhead $16 (75% variable). Oriole has no excess capacity to accept a special order for 37,300 units, at a discount of 25% from the regular price. Selling costs associated with this order would be $4 per unit. Indicate the net income (loss) that Oriole would realize by accepting the special order. (Enter loss with a negative sign preceding the number, e.g. -15,000 or parenthesis, e.g. (15,000).)
Incremental income (loss) $
Oriole Co. v_ the special order.
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