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s 11) and 12) using the information below: Grant's Kitchens is approached by Ms. Tammy Wang, a new customer, to fulfil a large one-Ume-only special
s 11) and 12) using the information below: Grant's Kitchens is approached by Ms. Tammy Wang, a new customer, to fulfil a large one-Ume-only special order for a productsimilar to one offered to regular customers The following per unit data apply for sales to regular customers: Direct materials Direct labor Variable manufacturing support Eixed manufacturing support $455 300 45 100 Total manufacturing costs $900 540 $1440 Markup (60%) Target selling price Grant's Kitchens has excess capacity. Ms. Wang wants the cabinets in cherry rather than oak, so direct material costs willincrease by $30 per unit. For Grant's Kitchens, what is the minimum acceptable price of this one-time-only special order for cherry cabinets? OA. $830 OB $900 OC $1328 OD. $800 QUESTION 12 What other items than the minimum acceptable price should Grant's Kitchens consider before accepting thisone-time-only special order? OA price is the only consideration OB. demand for cherry cabinets OC. reaction of existing customers to the lower price offered to Ms. Wang OD reaction of shareholders
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