Question: PLEASE DO QUESTION 1 & 2 thanks Exercise 11-9 (Algo) Special Order Decision [LO11-4] Delta Company produces a single product. The cost of producing and

PLEASE DO QUESTION 1 & 2 thanks
PLEASE DO QUESTION 1 & 2 thanks Exercise 11-9 (Algo) Special Order

Exercise 11-9 (Algo) Special Order Decision [LO11-4] Delta Company produces a single product. The cost of producing and seiling a single unit of this product at the company's normal activity level of 108,000 units per year is: The normal selling price is $22.00 per unit. The company's capacity is 130,800 units per year. An order has been received from a mailorder house for 1,900 units at a special price of $19.00 per unit. This order would not affect regular sales or the compeny's total fixed costs. Required: 1. What is the financial advantage (disadvantage) of accepting the special order? 2. As a separate matter from the special order, assume the company's inventory includes 1,000 units of this product that were produced last year and that are inferior to the current model. The units must be sold through regular channels at reduced prices. The company does not expect the selling of these inferior units to have any affect on the sales of its current model. What unit cost is relevant for establishing a minimum selling price for the inferior units? Complete this question by entering your answers in the tabs below. What is the financial advantage (disadvantage) of accepting the special order

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