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You are a managerial accounting consultant who helps organizations needing assistance. Please help each of the following companies with their issues. Assume each company is

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You are a managerial accounting consultant who helps organizations needing assistance. Please help each of the following companies with their issues. Assume each company is independent of each other. Schrniff Incorporated Schrniff Incorporated makes a range of products. The company's predetermined overhead rate is $22 per direct labor-hour, which was calculated using the following budgeted data: Variable Manufacturing Overhead $95,000 Fixed Manufacturing Overhead $323,000 Direct Labour Hours 19.000 Management is considering a special order for 760 units of prodhict 529XL at $70 each. The normal selling price of product S29XL is $81 and the unit product cost is determined as follows: Direct Materials $43.00 Direct Labour 12.00 Manufacturing Overhead Applied 22.00 Unit Product Cost 77.00 If the special order were accepted, normal sales of this and other products would not be affected. The company has ample excess capacity to produce the additional units. Assume that direct labor is a variable cost, variable manufacturing overhead is really driven by direct labor-hours, and total fixed manufacturing overhead would not be affected by the special order. Required: What would be the profit or loss as a result of accepting this order? Show your work. Should Schrift Incorporated accept or reject the special order

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