Reference no: EM132104786
Question - Special Order Decision
Antiquities, Inc., produces antique-looking books. Management has just received a request for a special order for 2,000 books and must decide whether to accept it. Venus Company, the purchaser, is offering to pay $22.00 per book, which includes $3.00 per book for shipping costs.
The variable production costs per book include $9.20 for direct materials, $4.00 for direct labor, and $3.80 for variable overhead. The current year's production is 22,000 books, and maximum capacity is 25,000 books. Fixed costs, including overhead, advertising, and selling and administrative costs, total $80,000. The usual selling price is $25.00 per book. Shipping costs, which are additional, average $3.00 per book.
Compute the contribution margin per book for the special order.
|
Explain why that propitious niche exists
: Identify a Propitious Niche that a specific firm has in business today. Name the firm and its product or service that is the Propitious Niche.
|
|
Find the speed of the proton
: A proton and an alpha particle are momentarily at rest at adistance r from each other. They then begin to move apart. Find the speed of the proton by the time.
|
|
Concern in buying additional shares
: Tramperco family owns 70% shares in its company and buys and sells shares in open market. Is there any concern in buying additional shares?
|
|
How would you best ensure that a code of business is read
: Leaders and managers face ethical situations in the course of formulating, choosing, implementing, and evaluating business strategies.
|
|
Compute the contribution margin per book for special order
: The variable production costs per book include $9.20 for direct materials, Compute the contribution margin per book for the special order
|
|
What is the resistance of the filament
: The length of a 60 W, 240 ohms light bulb filament is 60 cm. What is the resistance of the filament following the doubling of its length? R = ohms
|
|
What is the probability that the profit on the job
: What is the probability that the profit on the job exceeds $8,000,000?
|
|
How could christian perspectives prevent an employee
: As an HR representative, what legal and ethical responsibilities do you have to ensure all employees views and beliefs are being considered?
|
|
Calculate the break-even point in dollars
: Swanson Company has two divisions; Sporting Goods and Sports Gear. Swanson incurs $4,440,000 in fixed costs. Calculate the break-even point in dollars
|