Solution
Per | Total 23 | |
Unit | Bracelets | |
Incremental revenue | $ 365.00 | $ 8,395.00 |
Incremental cost: | ||
Variable cost | ||
Direct material | $ 146.00 | $ 3,358.00 |
Direct labor | $ 88.00 | $ 2,024.00 |
Variable manufacturing cost | $ 14.00 | $ 322.00 |
Cost of special filigree | $ 13.00 | $ 299.00 |
Total variable cost | $ 261.00 | $ 6,003.00 |
Fixed cost: | ||
Purchase of special tool | $ 459.00 | |
Total incremental cost | $ 6,462.00 | |
Incremental net Operating income (loss) | $ 1,933.00 |
.
Yes
The offer should be accepted.
The special order should be accepted because the additional net income by order is positive. |
Imperial Jewelers is considering a special order for 23 handcrafted gold bracelets to be given as...
Imperial Jewelers is considering a special order for 12 handcrafted gold bracelets to be given as gifts to members of a wedding party. The normal selling price of a gold bracelet is $405.00 and its unit product cost is $261.00 as shown below: Direct materials $ 141 Direct labor 86 Manufacturing overhead 34 Unit product cost $ 261 Most of the manufacturing overhead is fixed and unaffected by variations in how much jewelry is produced in...
Imperial Jewelers is considering a special order for 16 handcrafted gold bracelets to be given as gifts to members of a wedding party. The normal selling price of a gold bracelet is $405.00 and its unit product cost is $258.00 as shown below: Direct materials Direct labor Manufacturing overhead Unit product cost $ 140 80 38 $ 258 Most of the manufacturing overhead is fixed and unaffected by variations in how much jewelry is produced in any given period. However,...
Imperial Jewelers is considering a special order for 23 handcrafted gold bracelets to be given as gifts to members of a wedding party. The normal selling price of a gold bracelet is $403.00 and its unit product cost is $261.00 as shown below. Direct materials Direct labor Manufacturing overhead $ 142 87 Unit product cost $ 261 Most of the manufacturing overhead is fixed and unaffected by variations in how much jewelry is produced in any given period. However, $15...
3. value: 1.25 points Imperial Jewelers is considering a special order for 14 handcrafted gold bracelets to be given as gifts to members of a wedding party. The normal selling price of a gold bracelet is $405.00 and its unit product cost is $267.00 as shown below: Direct materials $ 143 89 Direct labor Manufacturing overhead Unit product cost 1 & 267 Most of the manufacturing overhead is fixed and unaffected by variations in how much jewelry is produced in...
Imperial Jewelers is considering a special order for 22 handcrafted gold bracelets to be given as gifts to members of a wedding party. The normal selling price of a gold bracelet is $409.00 and its unit product cost is $266.00 as shown below: Direct materials $ 150 Direct labor 81 Manufacturing overhead 35 Unit product cost $ 266 Most of the manufacturing overhead is fixed and unaffected by variations in how much jewelry is produced in...
Imperial Jewelers is considering a special order for 11 handcrafted gold bracelets to be given as gifts to members of a wedding party. The normal selling price of a gold bracelet is $406.00 and its unit product cost is $278.00 as shown below: $ Direct materials Direct labor Manufacturing overhead Unit product cost 150 88 40 278 $ Most of the manufacturing overhead is fixed and unaffected by variations in how much jewelry is produced in any given period. However,...
Imperial Jewelers is considering a special order for 15 handcrafted gold bracelets to be given as gifts to members of a wedding party. The normal selling price of a gold bracelet is $407.00 and its unit product cost is $263.00 as shown below: $142 86 35 Direct materials Direct labor Manufacturing overhead Unit product cost $263 Most of the manufacturing overhead is fixed and unaffected by variations in how much jewelry is produced in any given period. However, $11 of...
Imperial Jewelers is considering a special order for 17 handcrafted gold bracelets to be given as gifts to members of a wedding party. The normal selling price of a gold bracelet is $402.00 and its unit product cost is $264.00 as shown below: Direct materials Direct labor Manufacturing overhead $ 149 83 32 Unit product cost $264 Most of the manufacturing overhead is fixed and unaffected by variations in how much jewelry is produced in any given period. However, $15...
Imperial Jewelers is considering a special order for 22 handcrafted gold bracelets to be given as gifts to members of a wedding party. The normal selling price of a gold bracelet is $401.00 and its unit product cost is $264.00 as shown below. $ 149 82 Direct materials Direct labor Manufacturing overhead Unit product cost 33 $ 264 Most of the manufacturing overhead is fixed and unaffected by variations in how much jewelry is produced in any given period. However,...
Imperial Jewelers is considering a special order for 17 handcrafted gold bracelets to be given as gifts to members of a wedding party. The normal selling price of a gold bracelet is $401.00 and its unit product cost is $265.00 as shown below: Direct materials $ 142 Direct labor 88 Manufacturing overhead 35 Unit product cost $ 265 Most of the manufacturing overhead is fixed and unaffected by variations in how much jewelry is produced in...