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Question 29 Quick-Rite Company manufactures computers. The following cost information for the manufacture of one computer is the following: Direct Materials $57 Direct Labor 74

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Question 29 Quick-Rite Company manufactures computers. The following cost information for the manufacture of one computer is the following: Direct Materials $57 Direct Labor 74 Variable Manufacturing Overhead 41 Fixed Manufacturing Overhead* 24 Total Cost per Unit $196 *The $24 fixed overhead amount reflects the amount of indirect costs allocated to each unit. However, as indicated, the total of these indirect costs is fixed. Quick-Rite has received a special order for 1,000 computers at a price of $191 per unit. By how much will overall company net income change if the order is accepted? Company net income will DECREASE by $19,000 Company net income will DECREASE by $5,000 Company net income will INCREASE by $19,000 Company net income will INCREASE by $5,000

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