FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Yont Incorporated produces 600 units of a product each month with a unit variable cost of $24. Total fixed costs for the month are $5,550. A special sales order is received for 200 units of the product at a price of $28 per unit. In deciding to accept or reject the special sales order, it is appropriate to consider the
difference between the offered price and the variable cost per unit of $24.00. |
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new fixed cost per unit of $6.9375. |
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difference between the offered price and the new variable cost per unit of $16.50. |
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current fixed cost per unit of $9.25. |
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