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Please help me to solve this question correctly. . Thank you Problems 7-33 zizyon lainamal Problems DI ILO 2 Basketball Associs operating results whi Women's
Please help me to solve this question correctly. . Thank you
Problems 7-33 zizyon lainamal Problems DI ILO 2 Basketball Associs operating results whi Women's National ted the following U se increme order an Use incremental analysis for special order and identify non-financial factors in the decision. 2. E Writing ThreePoint Sports Inc. manufactures basketballs for the Women's National al Association (WNBA). For the first 6 months of 2020, the company reported the following e results while operating at 80% of plant capacity and producing 120.000 units. Amount Sales $4,800,000 Cost of goods sold 3,600,000 Selling and administrative expenses 405.000 Net income $ 795.000 and costs for the period were cost of goods sold 5960,000, and selling and administrative expenses $225,000 In July, normally a slack manufacturing month. ThreePoint Sports receives a special order for 10 000 basketballs at $28 cach from the Greek Basketball Association (GBA). Acceptance of the order Cud increase variable selling and administrative expenses $0.75 per unit because of shipping costs but would not increase fixed costs and expenses. Instructions a. Nl increase $37,500 a. Prepare an incremental analysis for the special order b. Should ThreePoint Sports Inc, accept the special order? Explain your answer. c. What is the minimum selling price on the special order to produce net income of $5.00 per ball? d. What non-financial factors should management consider in making its decision Step by Step Solution
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