Question: Show the math behind the calculated numbers. I literally do not understand what needs to be done here assistance would be super awesome. EIN 0-1

EIN 0-1 STIUW LIFE Tuul Du Culcuruteu ruiners Do not just use a check figure as it will be marked incorrect unless the numbers support it a Show math or calculatsion used Increased revenue attributable to the special order (Hint: special unit X special sales price) Increased Costs: (Calculate the per unit variable cost) Direct Material Formula provided free of charge: (($1,720,000 / 400,000) $1.80) Direct Labor Variable Overhead Selling Costs: Commission Total Per unit Variable Cost (DM, DL, Variable Overhead plus Commission) Units in special order Total variable costs Contribution margin fom special order: Incremental fixed costs Increase in net income before taxes (Check Figure: total should equal $267,600) Should the special order be accepted? Yes or No and Why or why not? 1 b Meeting a target profit: GUM 0 AVERAGE MIN O MAX COUNTA 1 A B D 29 30 32 33 b Meeting a target profit: 35 Adjusted unit variable cost (w/reduced commission) HINT: Total Per Unit Variable Cost from above less the Commission Cost from above 6 B Total adjusted variable costs Total increase in fixed costs Desired net income before income before income taxes (this one is given for you) Total cost (excluding commission) plus desired net income before income taxes 9 39.600 o -1 2 3 What is the lowest unit sales price PER UNIT they should receive and still make a before-tax profit of $39,600 on the special order? Support your answer with the calculation 4 5 EIN 0-1 STIUW LIFE Tuul Du Culcuruteu ruiners Do not just use a check figure as it will be marked incorrect unless the numbers support it a Show math or calculatsion used Increased revenue attributable to the special order (Hint: special unit X special sales price) Increased Costs: (Calculate the per unit variable cost) Direct Material Formula provided free of charge: (($1,720,000 / 400,000) $1.80) Direct Labor Variable Overhead Selling Costs: Commission Total Per unit Variable Cost (DM, DL, Variable Overhead plus Commission) Units in special order Total variable costs Contribution margin fom special order: Incremental fixed costs Increase in net income before taxes (Check Figure: total should equal $267,600) Should the special order be accepted? Yes or No and Why or why not? 1 b Meeting a target profit: GUM 0 AVERAGE MIN O MAX COUNTA 1 A B D 29 30 32 33 b Meeting a target profit: 35 Adjusted unit variable cost (w/reduced commission) HINT: Total Per Unit Variable Cost from above less the Commission Cost from above 6 B Total adjusted variable costs Total increase in fixed costs Desired net income before income before income taxes (this one is given for you) Total cost (excluding commission) plus desired net income before income taxes 9 39.600 o -1 2 3 What is the lowest unit sales price PER UNIT they should receive and still make a before-tax profit of $39,600 on the special order? Support your answer with the calculation 4 5
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
