hi teacher solve this question answer General accounting Crystal Waters Beverage Company receives a specialorder for 5,000 cases of premium water. The companyis currently operating at 80% capacity. Details are:•••Selling Price for Special Order: $45 per caseVariable Cost per Case: $12No additional fixed costs will be incurredCurrent production capacity allows for the orderShould Crystal Waters accept this special order?

Step 1: Definition of Special Order DecisionA special order is a one-time order that differs from a…

Answered: Crystal Waters Beverage Company…

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 2CE

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Bluebird Mfg has received a special one time order for 15000 bird feeders at $3.20 per unit. Bluebird currently produces and sells 75000 units at $7.20 each. This level represents 80% of its capacity. These bird feeders would be marketed under the wholesaler's name and would not affect bluebird sales accepts this additional business, the effect on net income will be?
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Firm B's demand for a product is 10 units per month. Its supplier charges an ordering cost of $5 per order and $10 per unit with a 10% discount for orders of 25 units or higher. Firm B incurs a 30% annual holding cost. How much does Firm B save each year (including purchasing, ordering, and holding costs) if it purchases enough units to get the discount? $122.25 $6.00 $2.25 $120.00
Assume that Nantucket Nectars reports the following costs: Nantucket Nectars Company of Making 12-Ounce Glass Bottles (1000,000 units) Total Cost for 1,000,000 Bottles Cost per Bottle DM $ 60,000 $0.06 DL 20,000 0.02 Variable MOH 40,000 0.04 Fixed MOH 80,000 0.08 Total Costs $ 200,000 $ 0.20 Another manufacturer offers to sell Nantucket Nectars the bottles for $0.18. Should Nantucket Nectars make or buy the bottles? How to make this decision Compare: prices from outside supplier versus the relevant cost Price from outside = 0.18 TC = 0.20 Benefit of buying it with another supplier = 0.02 Benefit = 20,000 and hence should buy bottles
Darwin Company sells glass vases at a wholesale price of $4.50 per unit. The variable cost to manutacture is $1.75 per unit. The monthly fixed costs are $8,500. Its current sales are 29,000 units per month. If the company wants to increase its operating income to $85,500 how many additional units must it ?sell glass vases 130,500 A O glass vases 34,182 BO glass vases 8,500 .c O glass vases 5,182 .D O
Hiawatha, Inc. has an agreement with a customer to produce 10 units of a product to sell for $1,200 per unit. At this level of production, Hiawatha's total cost per unit is $850, and it is 50% fixed and 50% variable. The customer now wants to purchase 17 units of this product. With this increased level of production, how much net income will Hiawatha earn per unit? $350 $467 O $433 $525 O None of the above
Vandenberg, Inc., produces and sells two products: a ceiling fan and a table fan. Vandenbergplans to sell 30,000 ceiling fans and 70,000 table fans in the coming year. Product price and costinformation includes: Ceiling Fan Table FanPrice $60 $15Unit variable cost $12 $7Direct fixed cost $23,600 $45,000Common fixed selling and administrative expenses total $85,000.Required:1. What is the sales mix estimated for next year (calculated to the lowest whole number foreach product)?2. Using the sales mix from Requirement 1, form a package of ceiling fans and table fans.How many ceiling fans and table fans are sold at break-even?3. Prepare a contribution-margin-based income statement for Vandenberg, Inc., based on theunit sales calculated in Requirement 2.4. What if Vandenberg, Inc., wanted to earn operating income equal to $14,400? Calculate thenumber of ceiling fans and table…
Wok Around the Clock, Inc., sells specialty woks. In the current year it expects to incur $840,000 in variable costs and $120,000 in fixed costs to make and sell 10,000 woks at $100 each.If Wok Around the Clock accepts a special order from Hard Wok Cafe to purchase 1,000 woks at $80 each, how much would it make or lose on this special order?
In need of an answer for this please. Thank you!
Rainbow birds currently produces and sales 75000 units at $7.00 each
Please solve the sub parts A,B,and C. Please no reject im needed in 120 minutes thank u

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