Reference no: EM132314988
Question
Martin Incorporated provided the following information regarding its only? product:
Sale price per unit -- ?$50.00
Direct materials used -- $ 164,000
Direct labor incurred -- $186,000
Variable manufacturing overhead -- $122,000
Variable selling and administrative expenses -- $73,000
Fixed manufacturing overhead -- ?$65,000
Fixed selling and administrative expenses -- ?$12,000
Units produced and sold -- 20,000
Assume no beginning inventory
Assuming there is excess? capacity, what would be the effect on operating income of accepting a special order for 5,400 units at a sale price of $43 per? product?
(NOTE: Assume regular sales are not affected by the special order. Round any intermediary calculations to the nearest? cent.)
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: Assuming there is excess? capacity, what would be the effect on operating income of accepting a special order for 5,400 units at a sale price of $43 per? produc
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