Schweizer Products produces smart thermostats for home heating, ventiation, and air conditioning (HVAC) systems. and markets them to vendors who self them under their own label. The cost of one of its thermostats follows French Road DIY Stores, a chain of home improvement stores, has asked Schweizer to supply it with 3,000 themostats for a special promotion French Road is planning at one of its larger outiets. French Road has offered to poy Schweizer a unit price of $63. 60 per thermostat The regular selling price is $90. The spectal order would require sorme modification to the basic model These modifications would add $460 per unit in material cost, $260 per unit in labor cost, and $110 in variable overhead cost. Although Schweizer has the capocity to produce the 3.000 units without atfecting its regular production of 45,000 units, a one-time rental of special testing equipment to meet French Road's recuirements would be needed. The equipment rental would be $9,000 and would allow Schweizer to test up to 6,000 units Required: o. Prepare a schedule to show the impact of filing the French Rood order on Schweizer's profits for the year b. Would you recommend that Schweizer accept the order? c. Considering only profit determine the ninimum quantiny of thermostats in the spectal crder that would make a profitable Prepare a schedule to show the impact of filling the French Road order on Schweizer's profits for the year. Would you recommend that Schweizer accept the order? .. Considering only profit, determine the minimum quantity of thermostats in the special order that would make it profitable Complete this question by entering your answers in the tabs below. Prepare a schedule to show the impact of filling the French Road order on schweizer's profits for the year. Note: Enter your answers in thousands rounded to 2 decimal places. (i.e, 5,400,400 should be entered as 5,400,40),5elect option "higher" or "lower", keeping Status Quo as the base. Select "none" if there is no effect. French Road DIY Stores, a chain of home improvement stores, has asked Schweizer to supply it with 3,000 thermostats for a special promotion French Road is planning at one of its larger outlets. French Road has offered to pay Schweizer a unit price of $63.60 per thermostat. The regular selling price is $90. The special order would require some modification to the basic model. These modifications would add $4.60 per unit in material cost, $2.60 per unit in labor cost, and $110 in variable overhead cost. Although. Schweizer has the capacity to produce the 3,000 units without affecting its regular production of 45,000 units, a one-time rental of special testing equipment to meet French Road's requirements would be needed. The equipment rental would be $9.000 and would allow Schweizer to test up to 6,000 units. Required: a. Prepare a schedule to show the impact of filling the French Road order on Schweizer's profits for the year b. Would you recommend that Schweizer accept the order? c. Considering only profit, determine the minimum quantity of thermostats in the special order that would make it profitable Complete this question by entering your answers in the tabs below. Would you recommend that schweizer accept the order? French Road DIY Stores, a chain of home improvement stores, has asked Schweizer to supply it with 3.000 thermostats for a 5p cial promotion French Road is planning at one of its larger outlets. French Road has offered to pay Schweizer a unit price of $63.60 per thermostat. The regular selling price is $90. The special order would require some modification to the basic model These modifications would add $4.60 per unit in material cost, $260 per unit in labor cost, and $110 in variable overhead cost. Although Schweizer has the capacity to produce the 3,000 units without affecting its regulac production of 45,000 units, a one-time rental of special testing equipment to meet French Road's requirements would be needed. The equipment rental would be 59.000 and would allow Schweizer to test up to 6,000 units. Required: 0. Prepare a schedule to show the impact of filing the French Road order on Schweizer's profits for the year b. Would you recommend that Schweizer accept the order? c. Considering only profit, determine the minimum quantity of thermostats in the special order that would make it profitable Complete this question by entering your answers in the tabs below. Considering only profit, determine the minimum quantity of thermostats in the speclal order that would make it profitable Note: Do not round iotermediate calculations
