Question: At Bargain Electronics, it costs $31 per unit ($20 variable and $11 fixed) to make an MP3 player that normally sells for $49. A foreign

 At Bargain Electronics, it costs $31 per unit ($20 variable and
$11 fixed) to make an MP3 player that normally sells for $49.

At Bargain Electronics, it costs $31 per unit ($20 variable and $11 fixed) to make an MP3 player that normally sells for $49. A foreign wholesaler offers to buy 3,720 units at $28 each. Bargain Electronics will incur special shipping costs of $3 per unit. Assuming that Bargain Electronics has excess operating capacity, indicate the net income (loss) Bargain Electronics would realize by accepting the special order. (Enter negative amounts using either a negative sign preceding the number eg -45 or parentheses eg. (457) Reject Order Accept Order Net Income Increase (Decrease) Revenues Costs-Variable manufacturing Shipping $ S $ Net income The special order should be Save for Later Attempts: 0 of 7 used Submit Answer a O Current Attempt in Progress Manson Industries incurs unit costs of $6 ($4 variable and $2 fixed) in making an assembly part for its finished product. A supplier offers to make 10,000 of the assembly part at $5 per unit. If the offer is accepted, Manson will save all variable costs but no fixed costs. Prepare an analysis showing the total cost saving, if any, Manson will realize by buying the part (Enter negative amounts using either a negative sign preceding the number eg.-45 or parentheses eg: (45).) Net Income Increase (Decrease) Make Buy $ Variable manufacturing costs Fixed manufacturing costs Purchase price $ $ $ Total annual cost The decision should be to the part Attempts: 0 of 7 used Submit Answer Save for Later G

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