our answer is partially correct. Try again. Moonbeam Company manufactures toaste

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our answer is partially correct. Try again.

Moonbeam Company manufactures toasters. For the first 8 months of 2017, the company reported the following operating results while operating at 75% of plant capacity:

Sales (350,800 units) $4,372,000
Cost of goods sold 2,608,000
Gross profit 1,764,000
Operating expenses 839,100
Net income $924,900

Reject Order Accept Order Net Income Increase (Decrease) Revenues 4372000 184646 Cost of goods solod 2608000 124140.21 Operating expenses 839100 45729.51 Net income 924900 s 11676 11676 Should Moonbeam Company accept the special order? should accept Moonbeam Company the special order. Click if you would like to Show Work for this question: Open Show Work

Explanation / Answer

Prepare an incremental analysis for the special order.

b) Moonbeam company should accept the special order

Reject order Accept order Net income increase (decrease) Sales 0 184646 184646 Cost of goods sold 0 -124140.21 -124140.21 Operating expense 0 -48829.51 -48829.51 Net income 0 11676 11676

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