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SPECIAL ORDER EXERCISE Visionary Game Company sells 600,000 units of a particular video game DVD at $12 each. The current unit cost per game is
SPECIAL ORDER EXERCISE
Visionary Game Company sells 600,000 units of a particular video game DVD at $12 each. The current unit cost per game is broken down as follows:
Prepare a contribution margin special order analysis to see whether they should fill the special order under each scenario. Explain why or why not.
Please Provide a table for Excel for each Scenario.
Visionary Game Company sells 600,000 units of a particular video game DVD at $12 each. The current unit cost per game is broken down as follows: Scenario 1 At the beginning of 2018 , Visionary received a special order from a video store for 10,000 of these game DVDs at a sale price of $8 per DVD. This is within Visionary's capacity to fill. Scenario 2 At the beginning of 2018, Visionary received a special order from the local Little League for 10,000 of these game DVDs at a sale price of $7 per DVD. This will add an additional $45,000 in fixed costs for Visionary. Prepare a contribution margin special order analysis to see whether they should fill the special order under each scenario. Explain why or why not
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