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Ratstaff Company has a current production level of 20.000 units per month. Unit costs at this level are: Directa 5029 Direct labor 0.40 Variable overhead
Ratstaff Company has a current production level of 20.000 units per month. Unit costs at this level are: Directa 5029 Direct labor 0.40 Variable overhead 0.10 Pound overhead Marketing-ed Marketing utbution-able 0.41 Current monthly sales are 18.000 units, Jim Company has contacted Ratzlaff Company about purchasing 1510 units at $2.00 each. Current sales would NOT be affected by the one time-only special order, and variable marketing distribution costs would NOT be incurred on the special order. What is Ratzlaff Company's change in operating profits if the special order is accepted? 54741.40 decrease in operating profits 54741.40 increase in operating profits 51706.30 decrease in operating profits 51706.30 increase in operating profits
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