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The Bharu Violin Corporation has the capacity to manufacture and sell 5,000 violins each year but is currently only manufacturing and seling 4.800. The following data relate to annual operations at 4,800 units Selling price Manufacturing costs Variable Fixed Selling and administrative costs: Variable Fixed Per Violin $ 600 $ 130 $ 270 $.20 $40 Wooigar Symphony Orchestra is interested in purchasing thanu's excess capacity of 200 units but only if they can get the violins for $350 each. This special order would not affect regular sales or the total fixed costs if the special order from Woolgar Symphony Orchestre is accepted, the financial advantage (disadvantage) Bharu for the year should be

The Bharu Violin Corporation has the capacity to manufacture and sell 5,000 violins each year but is currently only manufacturing and seling 4.800. The following data relate to annual operations at 4,800 units Selling price Manufacturing costs Variable Fixed Selling and administrative costs: Variable Fixed Per Violin $ 600 $ 130 $ 270 $.20 $40 Wooigar Symphony Orchestra is interested in purchasing thanu's excess capacity of 200 units but only if they can get the violins for $350 each. This special order would not affect regular sales or the total fixed costs if the special order from Woolgar Symphony Orchestre is accepted, the financial advantage (disadvantage) Bharu for the year should be

FINANCIAL ACCOUNTING
FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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The Bharu Violin Corporation has the capacity to manufacture and sell 5.000 violins each year but is currently only manufacturing and seling 4.800. The following data relate to annual operations at 4,800 units: Selling price Manufacturing costs: Variable: Fixed Selling and administrative costs: Variable Fixed Per Violin $ 600 $ 130 $ 270 5:20 Wooigar Symphony Orchestra is interested in purchasing Bharu's excess capacity of 200 units but only if they can get the violins for $350 each. This special order would not affect regular sales or the total fixed costs if the special order from woolgar Symphony Orchestra is accepted, the financial advantage (disadvantage) Bharu for the year should be
Transcribed Image Text:The Bharu Violin Corporation has the capacity to manufacture and sell 5.000 violins each year but is currently only manufacturing and seling 4.800. The following data relate to annual operations at 4,800 units: Selling price Manufacturing costs: Variable: Fixed Selling and administrative costs: Variable Fixed Per Violin $ 600 $ 130 $ 270 5:20 Wooigar Symphony Orchestra is interested in purchasing Bharu's excess capacity of 200 units but only if they can get the violins for $350 each. This special order would not affect regular sales or the total fixed costs if the special order from woolgar Symphony Orchestra is accepted, the financial advantage (disadvantage) Bharu for the year should be
The Bharu Violin Corporation has the capacity to manufacture and sell 5,000 violins each year but is currently only manufacturing and selling 4,800. The following data relate to annual operations at 4,800 units: Selling price Manufacturing costs: Variable Fixed Selling and administrative costs: Variable Fixed Per Violin $ 600 $ 130 $ 270 $ 20 $40 Woolgar Symphony Orchestra Is Interested in purchasing Bharu's excess capacity of 200 units but only if they can get the violins for $350 each. This special order would not affect regular sales or the total fixed costs. If the special order from Woolgar Symphony Orchestra is accepted, the financial advantage (disadvantage) Bharu for the year should be:
Transcribed Image Text:The Bharu Violin Corporation has the capacity to manufacture and sell 5,000 violins each year but is currently only manufacturing and selling 4,800. The following data relate to annual operations at 4,800 units: Selling price Manufacturing costs: Variable Fixed Selling and administrative costs: Variable Fixed Per Violin $ 600 $ 130 $ 270 $ 20 $40 Woolgar Symphony Orchestra Is Interested in purchasing Bharu's excess capacity of 200 units but only if they can get the violins for $350 each. This special order would not affect regular sales or the total fixed costs. If the special order from Woolgar Symphony Orchestra is accepted, the financial advantage (disadvantage) Bharu for the year should be:
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