{ "key_pair_value_system": true, "answer_rating_count": "", "question_feedback_html": { "html_star": "", "html_star_feedback": "" }, "answer_average_rating_value": "", "answer_date_js": "2024-06-09T16:31:19-04:00", "answer_date": "2024-06-09 16:31:19", "is_docs_available": "", "is_excel_available": "", "is_pdf_available": "", "count_file_available": 0, "main_page": "student_question_view", "question_id": "2525909", "url": "\/study-help\/questions\/the-following-information-applies-to-the-questions-displayed-below-2525909", "question_creation_date_js": "2024-06-09T16:31:19-04:00", "question_creation_date": "Jun 09, 2024 04:31 PM", "meta_title": "[Solved] The following information applies to the | SolutionInn", "meta_description": "Answer of - The following information applies to the questions displayed below. ] Cane Company manufactures two products called Al | SolutionInn", "meta_keywords": "information,applies,questions,displayed,below,cane,company,manufactures,two,products,called,alpha", "question_title_h1": "The following information applies to the questions displayed below. ] Cane Company manufactures two products called Alpha and Beta that sell for $ 1 3", "question_title": "The following information applies to the questions displayed below. ] Cane Company", "question_title_for_js_snippet": "The following information applies to the questions displayed below Cane Company manufactures two products called Alpha and Beta that sell for $ 1 3 0 and $ 9 0 , respectively Each product uses only one type of raw material that costs $ 5 per pound The company has the capacity to annually produce 1 0 2 , 0 0 0 units of each product Its unit costs for each product at this level of activity are given below AlphaBetaDirect materials$ 2 5 $ 1 0 Direct labour 2 2 2 1 Variable manufacturing overhead 1 7 7 Traceable fixed manufacturing overhead 1 8 2 0 Variable selling expenses 1 4 1 0 Common fixed expenses 1 7 1 2 Cost per unit$ 1 1 3 $ 8 0 The company considers its traceable fixed manufacturing overhead to be avoidable, whereas its common fixed expenses are deemed unavoidable and have been allocated to products based on sales dollars 5 Assume that Cane expects to produce and sell 9 7 , 0 0 0 Alphas during the current year One of Cane's sales representatives has found a new customer that is willing to buy 1 2 , 0 0 0 additional Alphas for a price of $ 8 8 per unit If Cane accepts the customers offer, it will decrease Alpha sales to regular customers by 7 , 0 0 0 units a Calculate the incremental net operating income if the order is accepted ( Loss amount should be indicated with a minus sign )", "question_description": "