Question: how would operating income be affected Widget Inc. manufactures widgets The company has the capacity to produce 100.000 widgets per year but it curenty produces
Widget Inc. manufactures widgets The company has the capacity to produce 100.000 widgets per year but it curenty produces and sels 75.000 widpets per year. The following information relates to curent production $44 Sale price per unit Variable costs per unit $25 Manufacturing Marketing and administrative S6 Total fixed costs Manulacturing Marketing and administrative S75.000 $24.000 taspecial sales order is accepted for 6200 widgets ata price of $35 per unt, and ed costs increase by $13.000, how would operating income be afected? NOTE Assume regile sales are not affected by the special rder. OA Increase by $7.800 OB. Inorease by 33.800 OC. Decrease by S7.00 OD. Increase by 539.000
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