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The management team of Sheridan Industries was evaluating its performance for the first half of the year. Production and sales of its fans were on

The management team of Sheridan Industries was evaluating its performance for the first half of the year. Production and sales of its fans were on budget at 3,150 units to date, with the following income statement reflecting its income for the first half of the year. Sales Variable costs: DM DL Variable-MOH Variable selling Contribution margin Fixed costs: Fixed-MOH Fixed selling Operating income (loss) $47,250 34,650 9,450 6,300 35,000 106,000 $248,850 97,650 151,200 141,000 $10,200
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The management team of Sheridan Industries was evaluating its performance for the first half of the year Production and sales of its fans were on budget at 3,150 units to date, with the following income statement reflectingits income for the first half of the year. Orders for the second half of the year were coming in slower than what the compary had been expecting. When a neveustomes called and requested a special discount, the sales teamlistented (a) Assume the customer-requests 195 units in the special order and offers $49 per unit. Since the customer came directly to the company, no variable selling cost will be incurred. How much better or worse off will Sheridan Industries be if it accepts this special order, assuming it has enough idle capacity for the order? Sheridan industries would be by 5 by accepting this order

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