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The following data pertain to activity and costs for two recent months: August September Activity level in units 20,000 16,000 Variable costs $12,000 ? Fixed
The following data pertain to activity and costs for two recent months: August September Activity level in units 20,000 16,000 Variable costs $12,000 ? Fixed costs 17,000 ? Mixed costs 14,000 ? Total costs $43,000 $41,600 Assuming that these activity levels are within the relevant range, the mixed costs for September were: ........ Use the following to answer the next two questions: Cartwright Company is considering whether it should produce 8,000 units requested in a special order from a customer. The company has the capacity to produce the additional units without cutting into its existing sales. Cartwright estimates the following costs to produce one unit: Direct material $4.00 Direct labor 3.00 Variable Mfg. Overhead .50 Fixed Mfg. Overhead 2.00 The special order calls for a selling price of $8.00 per unit; the normal selling price is $15.00 per unit. If Cartwright takes the special order, how will it impact the company's income
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