1. Company ABC has recorded sales revenue of RM12,775.00 in the previous month for 3,650 units...

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1. Company ABC has recorded sales revenue of RM12,775.00 in the previous month for 3,650 units sold. The total costs incurred for the production is RM10617.50 with RM1.95 is the variable cost per unit. Recently, Company ABC received a special order from their customer with a one-time order for 1,500 units at a discount of 10% from the current price. Please suggest to the Company ABC whether or not they accept this special order by using differential analysis. 2. Last month, SarNet Sdn Bhd sold 2,750 units of product A at the price of RM15 per unit. The variable cost per unit is RM9.55 and the total operating profit recorded for last month is RM7,487.50. Now, the company received a one-time order for 500 units but with a 25% of cash discount. However, if the company received this order, the total fixed costs have to increase by 15%. As an executive, you have to suggest to the company whether or not to accept this one-time order by using differential analysis. 1. Company ABC has recorded sales revenue of RM12,775.00 in the previous month for 3,650 units sold. The total costs incurred for the production is RM10617.50 with RM1.95 is the variable cost per unit. Recently, Company ABC received a special order from their customer with a one-time order for 1,500 units at a discount of 10% from the current price. Please suggest to the Company ABC whether or not they accept this special order by using differential analysis. 2. Last month, SarNet Sdn Bhd sold 2,750 units of product A at the price of RM15 per unit. The variable cost per unit is RM9.55 and the total operating profit recorded for last month is RM7,487.50. Now, the company received a one-time order for 500 units but with a 25% of cash discount. However, if the company received this order, the total fixed costs have to increase by 15%. As an executive, you have to suggest to the company whether or not to accept this one-time order by using differential analysis.

Answer rating: 100% (QA)

Net income before 12775 1061750 215750 New order units 1500 Discou... View the full answer