Question: Morrow Generator Supply is approached by Mr. Stephen, a new customer, to fulfill a large one-time-only special order for a product similar to one offered

Morrow Generator Supply is approached by Mr. Stephen, a new customer, to fulfill a large one-time-only special order for a product similar to one offered to regular customers. Morrow Generator Supply has excess capacity. The following per unit data apply for sales to regular customers:

Direct materials $1800.00

Direct manufacturing labor 130.00

Variable manufacturing support 210.00

Fixed manufacturing support 150.00

Total manufacturing costs 2290.00

Markup (20% of total manufacturing costs) 458.00

Estimated selling price $2748.00

For Morrow Generator Supply, what is the minimum acceptable price of this one-time-only special order?

Question 6 options:

$1930.00

$2290.00

$2140.00

$2748.00

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