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TB MC Qu. 4-80 (Algo) The following information relates to the... The following information relates to the Jasmine Company for the upcoming year: Sales Sales

TB MC Qu. 4-80 (Algo) The following information relates to the... The following information relates to the Jasmine Company for the upcoming year: Sales Sales Cost of goods sold Gross margin Operating expenses Operating profits Amount Per Unit $8,080,000 $28.00 6,464,000 20.00 1,616,000 8.00 660,000 2.50 $ 956,000 $ 5.50 The cost of goods sold includes $2,383,600 of fixed manufacturing overhead; the operating expenses include $215,600 of fixed marketing expenses. A spec order offering to buy 54,000 units for $15.80 per unit has been made to Jasmine. Fortunately, there will be no additional operating expenses associated with order; however, Jasmine is operating at full capacity. How much will operating profits increase if Jasmine accepts the special order? Multiple Choice

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