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Questions 6, 7, and 8 refer to the following information: At the end of the year, a company offered to buy 4,650 units of a
Questions 6, 7, and 8 refer to the following information: At the end of the year, a company offered to buy 4,650 units of a product from X Company for a special price of $11.00 each instead of the company's regular price of $17.00 each. The following information relates to the 61,100 units of the product that X Company made and sold to its regular customers during the year: Cost of goods sold Period costs Total Per-Unit $7.93 Total $484,523 148,473 2.43 $10.36$632,996 Fixed cost of goods sold for the year were $111,202, and fixed period costs were $67,821. Variable period costs include selling commissions equal to 3% of revenue. 6. Profit on the special order is 29900 Incorrect. Tries 3/3 Previous Tries 7. Assume the following two changes for the special order: 1) variable cost of goods sold will decrease by $0.81 per unit, and 2) there will be no selling commissions. What would be the effect of these two changes on the special order profit? Submit Answer Tries 0/3 8. There is concern that regular customers will find out about the special order, and X Company's regular sales will fall by 650 units. As a result of these lost sales, X Company's profits would fall by Submit Answer Tries 0/3
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