Welch Manufacturing is approached by a European customer to fulfill a one-time-only special order for a...

Transcribed Image Text:

Welch Manufacturing is approached by a European customer to fulfill a one-time-only special order for a product similar to one offered to domestic customers. Welch Manufacturing has enough excess capacity to fill the order without affect other sales. The following per unit data apply for sales to regular customers: Variable costs per unit Direct materials Direct labor Manufacturing Overhead Packaging costs Fixed costs allocated per unit Manufacturing Overhead Packaging costs 39 21 34 15 5 45 15 The normal selling price is 255 per unit, how will profit change if they take an order for 5000 units at a price of $175 per unit? Welch Manufacturing is approached by a European customer to fulfill a one-time-only special order for a product similar to one offered to domestic customers. Welch Manufacturing has enough excess capacity to fill the order without affect other sales. The following per unit data apply for sales to regular customers: Variable costs per unit Direct materials Direct labor Manufacturing Overhead Packaging costs Fixed costs allocated per unit Manufacturing Overhead Packaging costs 39 21 34 15 5 45 15 The normal selling price is 255 per unit, how will profit change if they take an order for 5000 units at a price of $175 per unit?