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Suppose the Baseball Hall of Fame in Cooperstown, New York' has approached Rec , Cardz with a Recicardz's total production cost is 50.57 per pack.
Suppose the Baseball Hall of Fame in Cooperstown, New York' has approached Rec , Cardz with a Recicardz's total production cost is 50.57 per pack. as follows special order. The Hall of Fame wishes to purchase 59.000 baseball card packs for a special promotional Click the icon to View the cost information ) campaign and offers 5150 37 per pack' a total of 321630 Recs Cardz has enough excess capacity to handle the special order. Read the requirements. Decismn: Accept the speCIal sales order. Requirement 2. Now assume that the Hall of Fame wants special hologram baseball cards. Rec Cardz will spend $5.700 to develop this hologram. which Will be useless after the special order is completed. Should Rec Cardz accept the speCIal order under these circumstances, assuming no change in the special pricmg of $0 37 per pack? Start by preparing the analysis with the additional cost for the speCial hologram. (Enter decreases to profits with a parentheses or minus sign ) Expected increase in revenues Expected increase in expenses. Variable manufacturing cost: packs x Fixed manufacturing costs Expected increase in total expenses Expected in operating income Data table Variable costs: Direct materials S Direct labor Variable overhead Fixed overhead Total cost 0.14 0.09 0.09 0.25 0.57 .@
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