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PLEASE HELP!! Rooney Quilting Company makes blankets that it markets through a variety of department stores. It makes the blankets in batches of 1,000 units.

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Rooney Quilting Company makes blankets that it markets through a variety of department stores. It makes the blankets in batches of 1,000 units. Rooney made 31,000 blankets during the prior accounting period. The cost of producing the blankets is summarized here.

Materials cost ($29 per unit 31,000) $ 899,000
Labor cost ($22 per unit 31,000) 682,000
Manufacturing supplies ($6 31,000) 186,000
Batch-level costs (31 batches at $5,000 per batch) 155,000
Product-level costs 300,000
Facility-level costs 330,000
Total costs $ 2,552,000
Cost per unit = $2,552,000 31,000 = $82.32

Required

  1. Sunny Motels has offered to buy a batch of 500 blankets for $63 each. Rooneys normal selling price is $97 per unit. Calculate the relevant cost per unit for the special order. Based on the preceding quantitative data, should Rooney accept the special order?

  2. Sunny offered to buy a batch of 1,000 blankets for $63 per unit, calculate the relevant cost per unit for the special order. Should Rooney accept the special order?

(For all requirements, round "Cost per unit" to 2 decimal places.)

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Rooney Quilting Company makes blankets that it markets through a variety of department stores. It makes the blankets in batches of 1,000 units. Rooney made 31,000 blankets during the prior accounting period. The cost of producing the blankets is summarized here. Materials cost ($29 per unit * 31,000) Labor cost ($22 por unit * 31,000) Manufacturing supplies ($6 * 31,000) Batch-level costs (31 batches at $5,000 per batch) Product-level costs Facility-level costs Total costs Cost per unit - $2,552,000 - 31,000 - $82.32 $ 899,000 682,000 186,000 155,000 300,000 330,000 $2,552,000 Required a. Sunny Motels has offered to buy a batch of 500 blankets for $63 each. Rooney's normal selling price is $97 per unit. Calculate the relevant cost per unit for the special order. Based on the preceding quantitative data, should Rooney accept the special order? b. Sunny offered to buy a batch of 1,000 blankets for $63 per unit, calculate the relevant cost per unit for the special order. Should Rooney accept the special order? (For all requirements, round "Cost per unit" to 2 decimal places.) a. Cost per unit Should Rooney accept the special order? b. Cost per unit Should Rooney accept the special order

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