Homework: Assignment 8 Score: 0 of 2 pts Hw Score: 0%, 0 of 10 pts E8-20A (simil

Question

Homework: Assignment 8 Score: 0 of 2 pts Hw Score: 0%, 0 of 10 pts E8-20A (similar to At the current production volume, the variable cost per unit is $29.00 and the fxed cost per will market the units in its country under its own brand name, so the special order is unit is $4.40. The nomal price of is located in a foreign country where Sampson does not currently operate. Kaymond has been asked by Kaymond Company to fll a special order for 13,000 units of the product at a special sales d effect on Read the tournment the special order impact Sampson's operating income? Shouid Sampson accept the special order? to determine the impact on Sampson's operating income i ccopts this special onder. (Enter a "0 for any zero balances Use parentheses or a minus margin andlor operating income from the special cnder.) Total Order (13,000 units) a decrease in Enter any number in the edit fields and then cick Check Answe

Explanation / Answer

Incremental analysis of special order :

Should not accept special order.

Revenue from special order (13000*23) 299000 Less: Expenses associated with special order Variable manufacturing cost (13000*29) (377000) Contribution margin (78000) Less: Additional fixed expenses associated with the order 0 Increase (decrease) in operating income from the special order (78000)

Related Questions

Navigate

• Browse (All)
• Browse H
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.