Question
Pine Street Inc. makes unfinished bookcases that it sells for $58. Production costs are $38 variable and $10 fixed. Because it has unused capacity, Pine
Pine Street Inc. makes unfinished bookcases that it sells for $58. Production costs are $38 variable and $10 fixed. Because it has unused capacity, Pine Street is considering finishing the bookcases and selling them for $74. Variable finishing costs are expected to be $8 per unit with no increase in fixed costs. Prepare an analysis on a per unit basis showing whether Pine Street should sell unfinished or finished bookcases. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Sell Process Further Net Income Increase (Decrease) Sales price per unit $enter the sales price per unit in dollars $enter the sales price per unit in dollars $enter the sales price per unit in dollars Cost per unit Variable enter the variable cost per unit in dollars enter the variable cost per unit in dollars enter the variable cost per unit in dollars Fixed enter the fixed cost per unit in dollars enter the fixed cost per unit in dollars enter the fixed cost per unit in dollars Total enter a subtotal of the two previous amounts enter a subtotal of the two previous amounts enter a subtotal of the two previous amounts Net income per unit $enter net income per unit in dollars $enter net income per unit in dollars $enter net income per unit in dollars The bookcases select an option.
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