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Oriole Company produced and sold 5 5 , 0 0 0 units of product and is operating at 7 0 % of plant capacity. Unit

Oriole Company produced and sold 55,000 units of product and is operating at 70% of plant capacity. Unit information about its
product is as follows:
Sales price
Variable manufacturing cost
Fixed manufacturing cost ($550,00055,000)
$1510
Profit per unit
The company received a proposal from a foreign company to buy 8,200 units of Oriole Company's product for $50 per unit. This is a
one-time only order and acceptance of this proposal will not affect the company's regular sales. The president of Oriole Company is
reluctant to accept the proposal because he is concerned that the company will lose money on the special order.
Prepare a schedule reflecting an incremental analysis of this proposal. (Enter negative amounts using either a negative sign
preceding the number e.g.-45 or parentheses e.g.(45). Do not leave any field blank. Enter 0 for the amounts.)
ORIOLE COMPANY
Incremental Analysis
Proposal to sell 8,200 units at $50
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