Safari File Edit View History Bookmarks Window Help 52% L)- ? ) Tue Jun 19 7:04 PM Alex C , ezto.mneducation.com 0? Home - alamo.edu Chapter 7 Exercises 11.11 points rowood Company manufactures a variety of sunglasses. Production information for its most popular line, the Clear Vista (CV), follows Per Unit 57.50 28.00 10,00 2.00 Sales price Direct materials Direct labor Fixed manufacturing averhead Total manufacturing cost Suppose that Ironwood has been approached about producing a special order for 3,400 units of custom CV sunglasses for a new semipro essional volleyba league. All units in the special order would be produced in the league's signature colors with a specially designed logo emblem attached to the side of the glasses. The league has offered to pay $55.00 per unit in the special order. Additional costs tor the special order total $6.00 per unit for mixing the special trame color and purchasing the emblem with the league's logo that will be attached to the glasses Required: 1. Assume Ironwood has the idle capacity necessary to accommodate the special order. Calculate the additional contribution margin Irowood would make by accepting the special orden I CM 2-a. Calculate the current contribution margin per unit. (Round your answer to 2 decimal places.) t CM per U 2-b. Suppose Ironwood is currently operating its production facility at full capacity and accapting the special order would mean reducing praduction of its regular CV model. Should Ironwood accept the special order in this case? O Yes O No 3. Colculate the special order price per unit at which Ironwood is indifterent between accepting or rejecting the special order (Round your answer to 2 decimal places.) per Unit 19 popcorntime ap