Incremental analysis
Incremental revenue (2900*310) | 899000 |
Less: Incremental Cost | |
Variable cost (2900*250) | 725000 |
Variable marketing and administrative (2900*4) | 11600 |
Fixed cost | 6800 |
Total incremental cost | 743400 |
Incremental profit (loss) | 155600 |
So answer is d) Increase by $155600
EQuestion Help Comfort Cloud manufactures seats for airplanes The company has the capacity to produce 100,000...
13. Comfort Cloud manufactures seats for airplanes. The company has the capacity to produce 100,000 seats per year, but currently produces and sells 75.000 seats per year. The following information relates to current production: Sales price per unit $430 Variable costs per unit: Manufacturing Marketing and administrative S80 Total fixed costs: Manufacturing Marketing and administrative $760,000 $220,000 If a special sales order is accepted for 2700 seats at a price of $350 per unit, fixed costs increase by $6600, and...
Comfort Cloud manufactures seats for airplanes. The company has the capacity to produce 100,000 seats per year, but is currently producing and selling 75,000 seats per year. The following information relates to current production: Sale price per unit $400 Variable costs per unit: Manufacturing Marketing and administrative S220 $50 Total fixed costs: Manufacturing Marketing and administrative $750,000 $200,000 If a special sales order is accepted for 5,500 seats at a price of $325 per unit, fixed costs remain unchanged, and...
Comfort Cloud manufactures seats for airplanes. The company has the capacity to produce 100,000 seats per year, but currently produces and sells 75,000 seats per year. The following information relates to current production: (Click the icon to view the data.) If a special sales order is accepted for 2,700 seats at a price of $350 per unit, fixed costs increase by $6,600, and variable marketing and administrative costs for that order are $1 per unit, how would operating income be...
how do i solve Comfort Cloud manufactures seats for airplanes. The company has the capacity to produce 100 000 seats per year, but currently produces and sols 75.000 seats per year. The following information relates to current production Sales priceperunt 100 Variable costs per unit: Manufacturing Marketing and administrative $200 $100 Totalfredo Manufacturing $750 000 Marketing and administrative 230 000 Ha special sales order is accepted for 2.000 seats ar e of $350 per unit, fed cols increase by 10...
Sky High Seats manufactures seats for airplanes. The company has the capacity to produce 100,000 seats per year, but currently produces and sells 75,000 seats per year. The following information relates to current production of seats: Sale price per unit $400 Variable costs per unit: Manufacturing $220 Marketing and administrative $50 Total fixed costs: Manufacturing $750,000 Marketing and administrative $200,000 If a special sales order is accepted for 4,000 seats at a price of $325 per unit, fixed costs remain...
Sky High Seats manufactures seats for airplanes. The company has the capacity to produce 100,000 seats per year, but is currently produces and sells 75,000 seats per year. The following information relates to current production of seats: Sale price per unit $430 Variable costs per unit: Manufacturing $250 Marketing and administrative $50 Total fixed costs: Manufacturing $770,000 Marketing and administrative $240,000 If a special sales order is accepted for 3000 seats at a price...
Sky High Seats manufactures seats for airplanes. The company has the capacity to produce 100,000 seats per year, but is cunently produces and sells 75.000 seats per year The following irnformation relates to curent production of seats Sale price per unit S420 Variable costs per unit Manufacturing Makeling and administrative $220 560 Tetal feed costs Manufacturing Marketing and administrative $780 000 $250 000 Ya special sales order is accepted for 3,400 seats at a price of 5310 per unt, and...
Sky High Seats manufactures seats for airplanes. The company has the capacity to produce 100,000 seats per year, but currently produces and sells 75,000 seats per year. The following information relates to the current production of the product: Sale price per unit $430 Variable costs per unit: Manufacturing Marketing and administrative $270 $60 Total fixed costs: Manufacturing Marketing and administrative $770,000 $240,000 If a special sales order is accepted for 7,500 seats at a price of $370 per unit, and...
q26 Sky High Seats manufactures seats for airplanes. The company has the capacity to produce 100,000 seats per year, but currently produces and sells 75,000 seats per year. The following information relates to current production of seats: $450 Sale price per unit Variable costs per unit: Manufacturing Marketing and administrative $220 $40 Total fixed costs Manufacturing Marketing and administrative $770,000 $250,000 If a necial caloe arrier is accenter for din cate at a nice of $475 nerunt find onts remain...
Comfort Cloud manicures seats for a planes. The company has the capacity to produce 100.000 seats per year, but currently produces and sells 75.000 seats per year. The folowing information relates to current production Sales price per unit $410 Vanate couts per unit Manufacturing $250 O A. Increase by $149.500 OB. Increase by $133.900 OC. Decrease by 5133.900 OD. Increase by S140,400 Click to select your answer Variable costs per unit: Manufacturing Marketing and administrative $250 $80 Total fixed costs:...