tb mac qu.12-81 a customer

ertiwnoon/low/omect.tonl ers 101112 15 0 Seved Help Seve & Esit Subm TB MC Qu. 12-81 A customer has requested that Lewelling Corporation . A customer has requested that Lewelling Corporation fil a special order for 2,200 units of product S47 for $27 a unit While the product would be modfed sightly for the special order, product S47s normal unit product cost is $20.50. Direct materials Direct lebor Varieble ranufacturing overhead Fixed nanufacturing averhead $ 5.80 4.08 2.98 7. 88 Unit product cost $20.5e Assume that direct labor is a variable cost The special arder wauld heve no effect on the compeny's total fxed manufacturing overhead costs. The customer would Ike modifications made to product S47 that would increase the variable costs by $140 per unit and that would requre an nvestment of $12.000.00 in special molds that would heve no selvege velue. This special order would have no effect on the company's other sales. The company has ample spere cepacity for producing the special order The anrual finencial ecvantage result of accepting this special order should be antagel for the compeny as Mut Choce 1 of 37 Prev Next> caton oret Exan 3 Covers 102.5 0 Saved Help Save 4 Eait Subnit Muhie Choce (52000 SI6390 S2.200 Prov 1 al 37 Nest>