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Question 19 1 pts Jenn's Jewelry Company produces a single product, a pendant necklace. The typical price of the pendant is $75. The cost of
Question 19 1 pts Jenn's Jewelry Company produces a single product, a pendant necklace. The typical price of the pendant is $75. The cost of producing and selling a single unit of this product at the company's normal activity level of 100,000 units per month is as follows: Direct materials $25.00 $5.00 $2.00 Direct labor (variable) Variable manufacturing overhead Variable selling costs Fixed manufacturing (allocated) Fixed selling (allocated) $2.00 $13.00 $3.00 A special order has been requested for 1,000 units at a discounted price of $50. The special order would require a onetime set up fee of $1,000. The variable selling costs would be $1.00 less per unit on this order than on normal sales. Assume the company has idle capacity. Should the company accept or reject the order? Accept the order! Reject the order Question 20 4 pts When the company is has idle capacity, how much would this special order increase (show with a positive) or decrease (show with a negative) the company's net operating income for the month? 17,000 Question 21 2 pts Suppose the jewelry company is operating at full capacity when the special order is requested. Should the company accept the special order? Accept the order! Reject the order
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