The normal selling price, The normal selling price is $22

The normal selling price

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Reference no: EM13942239

Glade Company produces a single product. The costs of producing and selling a single unit of this product at the company's current activity level of 8,300 units per month are:


Direct materials	$	2.20
Direct labor	$	4.00
Variable manufacturing overhead	$	.70
Fixed manufacturing overhead	$	3.95
Variable selling and administrative expenses	$	1.00
Fixed selling and administrative expenses	$	3.00

The normal selling price is $22 per unit. The company's capacity is 10,600 units per month. An order has been received from a potential customer overseas for 2,300 units at a price of $19.00 per unit. This order would not affect regular sales.

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Reference no: EM13942239

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