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Suppose the Baseball Hall of Fame in Cooperstown, New York, Active - Cardz's total production cost is $0.59 per pack, has approached Active - Cardz
Suppose the Baseball Hall of Fame in Cooperstown, New York, Active - Cardz's total production cost is $0.59 per pack, has approached Active - Cardz with a special order. The Hall of as follows: Fame wants to purchase 51,000 baseball card packs for a (Click the icon to view the cost information.) special promotional campaign and offers $0.39 per pack, a total of $19,890. Active - Cardz has enough excess capacity to handle the special order. Read the requirements. Requirement 1. Prepare an incremental analysis to determine whether Active-Cardz should accept the special sales order assuming fixed costs would not be affected by the special order. (Enter a "0" for any zero balances. Use parentheses or a minus sign to indicate a decrease in operating income from the special order.) Requirement 2. Now assume that the Hall of Fame wants special hologram baseball cards. Active - Cardz must spend $4,700 to develop this hologram, which will be useless after the special order is completed. Prepare an incremental analysis to determine whether Active - Cardz should accept the special order under these circumstances. (Enter a "0" for any zero balances. Use parentheses or a minus sign to indicate a decrease in operating income from the special order.) Decision: Requirement 2. Now assume that the Hall of Fame wants special hologram baseball cards. Active - Cardz must spend $4,700 to develop this hologram, which will be useless after the special order is completed. Prepare an incremental analysis to determine whether Active - Cardz should accept the special order under these circumstances. (Enter a "0" for any zero balances. Use parentheses or a minus sign to indicate a decrease in operating income from the special order.) Suppose the Baseball Hall of Fame in Cooperstown, New York, Active - Cardz's total production cost is $0.59 per pack, has approached Active - Cardz with a special order. The Hall of as follows: Fame wants to purchase 51,000 baseball card packs for a (Click the icon to view the cost information.) special promotional campaign and offers $0.39 per pack, a total of $19,890. Active - Cardz has enough excess capacity to handle the special order. Read the requirements. Less: Additiona Data table Decision: Requirement 2. Active - Cardz must spend $4,700 to develop this holo incremental analysis to determine whether Active '0" for any zero balances. Use parentheses or a r.) Total Order Increme Revenue from s Less variable exi Variable mar Contribution me Less: Additiona Increase (decrease) in operating income from the special order Decision
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