Atlas Manufacturing received a special order from a foreign distributor for 8,000 units of their product at $24.75 per unit. This order won't affect Atlas's regular production or domestic sales prices. The following data is available: • Domestic unit sales price: $29.50 ⚫ Unit manufacturing costs: 。 Variable: $16.25 。 Fixed: $4.75 What is the amount of income or loss from acceptance of this special order? a. $38,000 loss b. $68,000 income c. $106,000 loss d. $106,000 income

Atlas Manufacturing received a special order from a foreign distributor for 8,000 units of their product at $24.75 per unit. This order won't affect Atlas's regular production or domestic sales prices. The following data is available: • Domestic unit sales price: $29.50 ⚫ Unit manufacturing costs: 。 Variable: $16.25 。 Fixed: $4.75 What is the amount of income or loss from acceptance of this special order? a. $38,000 loss b. $68,000 income c. $106,000 loss d. $106,000 income

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter16: Cost-volume-profit Analysis

Section: Chapter Questions

Problem 9E: Gelbart Company manufactures gas grills. Fixed costs amount to 16,335,000 per year. Variable costs...

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Use this information for Stryker Industries to answer the question that follow. Stryker Industries received an offer from an exporter for 30,000 units of product at $19 per unit. The acceptance of the offer will not affect normal production or domestic sales prices. The following data are available: Domestic unit sales price $23 Unit manufacturing costs: Variable 10 Fixed 5 What is the amount of income or loss from the acceptance of the offer? Oa. $300,000 loss Ob. $690,000 loss Oc. $570,000 income Od. $270,000 income Previous Next 7:36 PM CP 12/13/2020
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