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Widgel Inc manufactures widgets. The company has the capacity to produce 100,000 widgets per year, but it currently produces and sells 75,000 widgets per year.
Widgel Inc manufactures widgets. The company has the capacity to produce 100,000 widgets per year, but it currently produces and sells 75,000 widgets per year. The following information relates to current producton Sales price per unit $45 Variable costs per uni Manufacturing Marketing and administrative $24 56 Total frxed costs $75,000 525,000 Marketng and administrative If a special sales order is accepted for 5,900 widgets at a price of $38 per unt, fxed costs remain unchanged, and no variable marketing and administrative costs will be incurred for this order, how would operating income be affected? (NOTE Assume reqular sales are not allected by the special order) O A. Increase by $82,600 Increase by $224,200 C. Decrease by $82,600 O D. Increase by $47 200
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