Venus Corporation provided the following information regarding its single product: Direct materials used $240,000 Direct labour...

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Venus Corporation provided the following information regarding its single product: Direct materials used $240,000 Direct labour incurred $420,000 Variable manufacturing overhead $160,000 Fixed manufacturing overhead $100,000 Variable selling and administrative expenses $60,000 $20,000 Fixed selling and administrative expenses The regular selling price for the product is $75. The annual quantity of units produced and sold is 20,000 units (the costs above relate to the 20,000 units production level). There was no beginning inventory. What would be the effect on Venus Corporation's operating income of accepting a special order for 3,000 units at a sale price of $65 per product? The company has excess capacity and regular sales will not be affected by this special order. Venus Corporation provided the following information regarding its single product: Direct materials used $240,000 Direct labour incurred $420,000 Variable manufacturing overhead $160,000 Fixed manufacturing overhead $100,000 Variable selling and administrative expenses $60,000 $20,000 Fixed selling and administrative expenses The regular selling price for the product is $75. The annual quantity of units produced and sold is 20,000 units (the costs above relate to the 20,000 units production level). There was no beginning inventory. What would be the effect on Venus Corporation's operating income of accepting a special order for 3,000 units at a sale price of $65 per product? The company has excess capacity and regular sales will not be affected by this special order.

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