Special Order Total cost data follow for Greenfield Manufacturing Company, which has a normal capacity per period of 20,000 units of Notes: 1. Beyond normal capacity, fixed overhead costs increase 54,500 for each 1,000 units or fraction thereof until a maximum 2. Selling expenses consist of a 10% sales commission and shipping costs of $1 per unit. Greenfield pays only one-half of th Greenfield's sales manager has received a special order for 2,500 units from a large discount chain at a price of s44 each, F. 1. Changes in the product's design will reduce direct material costs by $4 per unit. 2. Special processing will add 10% to the per-unit direct labor costs. 3. Variable overhead will continue at the same proportion of direct labor costs. 4. Other costs should not be affected. a. Present an analysis supporting a decision to accept or reject the special order. (Round computations to the nearest cent.) has a normal capacity per period of 20.000 units of product that sell for $54 each. For the foreseeable future, regular sales volume should contince to equal nomal capacity. ir each 1.000 units or fraction thereof unvi a maximum capacity of 24.000 units is reached. z costs of st per unit Greentield pays only one-hal of the regular sales commission rates on sales amounting to 13,000 or more. ants ftom a large discount chain at a price of 144 each, F.0. A factory. The controller's office has furnished the following additional cont data related to the special order: 5 by $4 per unit. t labor costs. e special order, (Round computations to the nearest cent) Special Order Total cost data follow for Greenfield Manufacturing Company, which has a normal capacity per period of 20,000 units of Notes: 1. Beyond normal capacity, fixed overhead costs increase 54,500 for each 1,000 units or fraction thereof until a maximum 2. Selling expenses consist of a 10% sales commission and shipping costs of $1 per unit. Greenfield pays only one-half of th Greenfield's sales manager has received a special order for 2,500 units from a large discount chain at a price of s44 each, F. 1. Changes in the product's design will reduce direct material costs by $4 per unit. 2. Special processing will add 10% to the per-unit direct labor costs. 3. Variable overhead will continue at the same proportion of direct labor costs. 4. Other costs should not be affected. a. Present an analysis supporting a decision to accept or reject the special order. (Round computations to the nearest cent.) has a normal capacity per period of 20.000 units of product that sell for $54 each. For the foreseeable future, regular sales volume should contince to equal nomal capacity. ir each 1.000 units or fraction thereof unvi a maximum capacity of 24.000 units is reached. z costs of st per unit Greentield pays only one-hal of the regular sales commission rates on sales amounting to 13,000 or more. ants ftom a large discount chain at a price of 144 each, F.0. A factory. The controller's office has furnished the following additional cont data related to the special order: 5 by $4 per unit. t labor costs. e special order, (Round computations to the nearest cent)
