Husky Sports manufactures footballs. The forecasted income statement for the year before any special orders is as
Question:
Fixed costs included in the preceding forecasted income statement are $1,200,000 in manufacturing cost of goods sold and $100,000 in selling expenses. Husky Sports received a special order for 50,000 footballs at $7.50 each. Assume that Husky Sports has sufficient capacity to manufacture 50,000 more footballs.
Required
Calculate the relevant unit cost that Husky Sports should consider in evaluating this specialorder.
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Related Book For
Managerial Accounting A Focus on Ethical Decision Making
ISBN: 978-0324663853
5th edition
Authors: Steve Jackson, Roby Sawyers, Greg Jenkins
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