Question: a. If Marcy accepts the order, what effect will the order have on the companys short-term profit? b. What minimum price should Marcy charge to

 a. If Marcy accepts the order, what effect will the order

a. If Marcy accepts the order, what effect will the order have on the companys short-term profit? b. What minimum price should Marcy charge to achieve a $77,000 incremental profit? c. Now assume Marcy is currently operating at full capacity and cannot fill the order without harming normal production and sales. If Marcy accepts the order, what effect will the order have on the companys short-term profit?

Marcy has received a special order for 3,500 units of its product at a special price of $186. The product normally sells for $230 and has the following manufacturing costs: Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead Unit cost Per unit $ 62 51 26 14 $153 Assume that Marcy has sufficient capacity to fill the order without harming normal production and sales and all fixed overhead is unavoidable

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