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Sales (in units) 60,000 Selling price per unit 25 Manufacturing costs per unit: Materials 5 Direct labor 4 Overhead Variable 4 Fixed 6 Total 19
Sales (in units)
60,000
Selling price per unit
25
Manufacturing costs per unit:
Materials
5
Direct labor
4
Overhead
Variable
4
Fixed
6
Total
19
Gross margin
6
Selling and admin. Expenses per unit
2
Operating income
4
A company in a foreign market offer to buy and the offer specifies the following data
units to be sold
10,000
price per unit
13
Should the company sell this special order?
a.Yes, accept
b.No, reject
c.Indifferent to reject or not
d.Always reject
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