M http://ezto.mheducation.com/hm.tpx Mail-Smith, Courtney A (Wes...C Chegg Study

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M http://ezto.mheducation.com/hm.tpx Mail-Smith, Courtney A (Wes...C Chegg Study Guided Solution... File Edit View Favorites Tools Help Wish-Shopping Made FunYounique by Courtney s.. Gastric Sleeve weight Los west Kentucky Communi. welcome to Facebook-L G Google Home Chegg x Find: planning fu Options Previous Next Exam 3 instructions I help Question 35 (of 40) Save & ExitSubmit Time remaining: 2:18:13 35 Bluebird Mfg. has received a special one-time order for 15,000 bird feeders at $3.20 per unit. Bluebird currently produces and sells 75,000 units at $7.20 each. This level represents 80% of its capacity. Production costs for these units are $3.80 per unit, which includes $2.35 variable cost and $1.45 fixed cost. If Bluebird accepts this additional business, the effect on net income will be O $48,000 increase $12,750 increase $35,250 increase $9,000 decrease $35.250 decrease 4:18 PM 5/3/2016

Explanation / Answer

(Selling Price - Variable Cost) x Units Sold

($3.2-$2.35) x 15000 = $12750 increase

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