ACC-650 TOPIC 5 Assignment Question 2 of 11

ACC-650 TOPIC 5 Assignment Question 2 of 11 View Policies Current Attempt in Progress -/4 Sheffield Company is a leading manufacturer of sunglasses. One of Sheffield's products protects the eyes from ultraviolet rays. An upscale sporting goods store has contacted Sheffield about purchasing 29,700 pairs of these sunglasses. Sheffield's unit manufacturing cost, based on a full capacity of 252,000 units, is as follows: Direct materials Direct labor Manufacturing overhead (75% fixed) Total manufacturing costs $8 6 21 $35 Sheffield also incurs selling and administrative expenses of $75,200 plus $4 per pair for sales commissions. The company has plenty of excess manufacturing capacity to use in manufacturing the sunglasses. Sheffield's normal price for these sunglasses is $44 per pair. The sporting goods store has offered to pay $32 per pair. Since the special order was initiated by the sporting goods store, no sales commission will be paid. What wou ld be the effect on Sheffield's income if the special order were accepted? Sheffield's income will eTextbook and Media Save for Later v by $ Attempts: O of 3 used Submit Answer