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agenow.com/lmytakeAssignment/takeAs dotinvoker assignmentsatakeAssignmentSessiontocator)L Caloulator Accept Business at Special Price Product A is normally sold for $50 per unit. A special price of $34 is offered for the export market. The variable production cost is $26 per unit. An additional export tariff of 14% of revenue must be paid for all export products. Assume there is sufficient capacity for the specal order. a. Prepare a differential analysis dated March 16 on whether to reject (Alternative 1) or accept (Alternative 2) the special order. If required, round your answers to two decimal places. If an amount is zero, enter " For those boxes in which you must enter subtracted or negative numbers use a minus sign. Differential Analysis Reject Order (Alt. 1) or Accept Order (AIt. 2) March 16 Reject Order (Aternative 1) Accept Order (Atemative 2) Differential Efflect on Income (Alternative 2) Revenues, per unit Costs: Variable manufacturing costs, per unit Export tarif, per unt Income (Loss), per unit b. Should the special order be rejected (Alternative 1) or accepted (Alternative 2)2 Reject the special order Accept the special order Preious All work saved Email instructor Submit Test for Grading ip

Explanation / Answer

Differential analysis :

b) Accept the special order

Reject order (alternative 1) Accept order (alternative 2) Differential effect on income (alternative 2) Revenue per unit 0 34 34 Costs Variable manufacturing cost per unit 0 -26 -26 Export tarrif per unit 0 -4.76 -4.76 Income (loss) per unit 0 3.24 3.24

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