Problem 4. (15 Points). A company has just received a special, one-time order for 1,000 units. Producing the order will have no effect on the production and sales of other units. The buyer's name will be stamped on each unit, at a cost of $1.50 per unit. Normal cost data, excluding stamping, follows: Direct materials.. Direct labor...... Variable overhead...... Allocated fixed overhead...... Allocated fixed selling expense.. $ 10 per unit 16 per unit 4 per unit 12 per unit 8 per unit Prepare an analysis that indicates the selling price per unit this company will require to earn $3,000 on the order.

A company has just received a special, one-time order for 1,000 units. Producing the order will have no effect on the production and sales of other units. The buyer's name will be stamped on each unit, at a cost of $1.50 per unit. Normal cost data, excluding stamping, follows: Prepare an analysis that indicates the selling price per unit this company will require to earn $3,000 on the order