Question: please help me solve this Decision on Accepting Additional Business Brightstone Tire and Rubber Company has capacity to produce 230,000 tires. Brightstone presently produces and

Decision on Accepting Additional Business Brightstone Tire and Rubber Company has capacity to produce 230,000 tires. Brightstone presently produces and sells 176,000 tires for the North American marketta price of $96 per tire Brightstone is evaluating a special order from a European automobile company, Eura Motors. Euro is offering to buy 27,000 tires for 57.1 per tre Brightstone's nccounting system indicates that the total cost per tire is as follows: Direct materials $36 Direct labor 13 Factory overhead (70% variable) 22 Selling and administrative expenses (30% variable) 19 Total $90 Brightstone pays a selling commission equal to 5% of the selling price on North American orders, which is included in the variable portion of the selling and administrative expenses. However, this special order would not have a sales commission. If the order was accepted, the tires would be shipped overseas for an additional shipping ce of $5 per tire. In addition, Euro has made the order conditional on receiving European safety certification. Brightstone estimates that this certification would cost $137,700 a. Prepare a differential analysis dated January 21 on whether to Reject Order (Alternative 1) or Accept Order (Alternative 2). If an amount is zero, enterrero ou required, round interim calculations to two decimal places. For those boxes in which you must enter subtracted or negative numbers use a minus sign Differential Analysis Reject Order (Alt. 1) or Accept Order (Alt. 2) January 21 Reject Accept Differential Order Order Effects (Alternative 1) (Alternative 2) (Alternative 2) Revenues Costs Direct materials Direct labor Variable factory overhead Previous Check My Work more Check My Work uses remaining Sun And for Apowever was com Interder was accurs would be very of SS per tire. In addition, Euro has made the order conditional on receiving European safety certification. Brightstone estimates that this certification would cost $137,700 . Prepare a differential analysis dated January 21 on whether to Reject Order (Alternative 1) or Accept Order (Alternative 2). If an amount is zero, enter er "0", 17 required, round interim calculations to two decimal places. For those boxes in which you must enter subtracted or negative numbers use a minut sien. Differential Analysis Reject Order (Alt. 1) or Accept Order (Alt. 2) January 21 Reject Accept Differential Order (Alternative 1) (Alternative 2) (Alternative 2) Revenues Order Effects Costs Direct materials Direct labor Variable factory overhead Variable selling and admin expenses Shipping costs Certification costs Profit loss) Determine whether to reject (Alternative 1) or accept (Alternative 2) the special order from Euro Motors b. What the minimum price per unit that would be finaitally acceptable to Brightstone7 Round your answer to two decimal places. per unit
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