Marigold Corp. incurred the following costs for 52000 units:Variable costs $312000Fixed costs392000Marigold has received a special order from a foreign company for 2000 units. There is sufficient capacity to fill the order withoutjeopardizing regular sales. Filling the order will require spending an additional $2400 for shipping.If Marigold wants to earn $4000 on the order, what should the unit price be?O $8.00O $10.74O $9.20O $16.74

The variable costs change with change in the level of production. Fixed cost does not change with…

Answered: Marigold Corp. incurred the following…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

XYZ manufactures a computer stand. It has fixed costs of $600,000 and each stand sells for $90, with a variable cost of $ 48 per unit. Determine the sales value that XYZ manufactures will have to reach if it is to make $20,000 profit per period. a. 12,917 b. 14762 С. 11,920 d. 728,000
K Allen's Ark sells 2,000 canoes per year at a sales price of $470 per unit. Allen's sells in a highly competitive market and uses target pricing. The company has calculated its target full product cost at $740,000 per year. Total variable costs are $250,000 per year and cannot be reduced. Assume all products produced are sold. What are the target fixed costs? OA. $940,000 OB. $200,000 OC. $250,000 OD. $490,000 GEZOS
Concord Music produces 59600 blank CDs on which to record music. The CDs have the following costs: Direct Materials $10000 Direct Labour 15700 Variable Overhead 3300 Fixed Overhead 6600 None of Concord’s fixed overhead costs can be reduced, but another product could be made that would increase the operating income by $4500 if the CDs were acquired externally. If cost minimization is the major consideration and the company would prefer to buy the CDs, what is the maximum external price that Concord would be willing to accept to acquire the 59600 units externally? $31100 $40100 $35600 $33500
Current Attempt in Progress Your answer is partially correct. Cullumber Company incurs a cost of $35 per unit, of which $19 is variable, to make a product that normally sells for $58. A foreign wholesaler offers to buy 5,600 units at $30 each. Cullumber will incur additional costs of $1 per unit to imprint a logo and to pay for shipping. Compute the increase or decrease in net income Cullumber will realize by accepting the special order, assuming Cullumber has sufficient excess operating capacity. (Enter negative amounts using either a negative sign preceding the number e.g. -45 or parentheses e.g. (45).) Revenues Costs $ Net income $ Reject $ $ Should Cullumber Company accept the special order? Cullumber company should accept V the special order. Accept 168000 112000 i 56000 $ $ Net Income Increase (Decrease) 168000 112000 56000
In need of an answer for this please. Thank you!
Calculate minimum transfer price. E9.29 (LO 6) The national division of Nero International Company is buying 20,000 widgets from an outside supplier at $75 per unit. Nero International's overseas division, which is producing and selling widgets at full capacity (25,000 units), has the following sales and cost structure: Sales price per unit $90 Variable cost per unit 70 Fixed cost (at capacity) per unit 20 Instructions a. Determine the minimum transfer price if the national division buys 5,000 widgets from the overseas division. b. Determine the effect on overall company profits if the overseas division meets the outside supplier's price and sells the 5,000 widgets to the national division.
please answer the following question thanks
Waltman Co. produces 5,000 units of part A12E. The following costs were incurred for that level of production: Direct materials $ 55,000 Direct labor 160,000 Variable overhead 75,000 Fixed overhead 175,000 If Waltman buys the part from an outside supplier, $40,000 of the fixed overhead is avoidable. If the outside supplier offers a unit price of $68, net income will increase (decrease) by O ($50,000) decrease $125,000 increase O $85,000 increase O ($10,000) decrease
A buyer from another country offered to purchase 2,000 units of product for $ 2.50 per unit. The normal selling price is $ 3.00 per unit. The company's regular variable costs of $ 1.50 per unit would not change, however overall fixed costs would increase by $ 500 if his order is accepted. How much will net income increase if this special order is accepted? Multiple Choice $ 2,500. $ 2,000. $1,500. $ 3,000. $ 1,850.
It costs Bonita Industries $11 of variable and $5 of fixed costs to produce one scale which normally sells for $43. A foreign wholesaler offers to purchase 4100 scales at $15 each. Garner would incur special shipping costs of $1 per scale if the order were accepted. Bonita has sufficient unused capacity to produce the 4100 scales. If the special order is accepted, what will be the effect on net income? O $12300 increase $12300 decrease O $49200 decrease $61500 increase
Sheffield Corp. incurred the following costs for 82000 units: Variable costs Fixed costs O $15.58 O $8.70 O $8.88 O $10.80 $549400 Sheffield has received a special order from a foreign company for 2000 units. There is sufficient capacity to fill the order without jeopardizing regular sales. Filling the order will require spending an additional $4200 for shipping. If Sheffield wants to earn $4000 on the order, what should the unit price be? Save for Later 392000 Attempts: 0 of 1 used Submit Answer
what is the answer out of multiple choice above^

SEE MORE QUESTIONS

Recommended textbooks for you

FINANCIAL ACCOUNTING

Accounting

ISBN:

9781259964947

Author:

Libby

Publisher:

MCG

Accounting

ISBN:

9781337272094

Author:

WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.

Publisher:

Cengage Learning,

Accounting Information Systems

Accounting

ISBN:

9781337619202

Author:

Hall, James A.

Publisher:

Cengage Learning,

FINANCIAL ACCOUNTING

Accounting

ISBN:

9781259964947

Author:

Libby

Publisher:

MCG

Accounting

ISBN:

9781337272094

Author:

WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.

Publisher:

Cengage Learning,

Accounting Information Systems

Accounting

ISBN:

9781337619202

Author:

Hall, James A.

Publisher:

Cengage Learning,

Horngren's Cost Accounting: A Managerial Emphasis…

Accounting

ISBN:

9780134475585

Author:

Srikant M. Datar, Madhav V. Rajan

Publisher:

PEARSON

Intermediate Accounting

Accounting

ISBN:

9781259722660

Author:

J. David Spiceland, Mark W. Nelson, Wayne M Thomas

Publisher:

McGraw-Hill Education

Financial and Managerial Accounting

Accounting

ISBN:

9781259726705

Author:

John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles

Publisher:

McGraw-Hill Education

SEE MORE TEXTBOOKS