If a plant is operating at full capacity and receives a one-time opportunity to accept an...
If a plant is operating at full capacity and receives a one-time opportunity to accept an order at a special price below its usual price, then
a) only variable costs are relevant.
B)fixed costs are not relevant.
C)the order will likely be accepted.
D) the order will likely be rejected.
Homework Answers
Answer : D) the order will Likely be Rejected
If the Plant is Running With the Full Capacity, Acceptance of any Special order will Reduce the Regular Sales, So Special order Must be Provide the more than the Regular Price otherwise net operating income Will be reduced.
Add Answer to:
If a plant is operating at full capacity and receives a one-time
opportunity to accept an...
12. If a company must expand capacity to accept a special order, it is likely that...
12. If a company must expand capacity to accept a special order, it is likely that there will be A) an increase in unit variable costs. B) no increase in fixed costs. C) an increase in variable and fixed costs per unit. D) an increase in fixed costs. 13. If a plant is operating at full capacity and receives a one-time opportunity to accept an order at a special price below its usual price, then A) only variable costs are...
The Goal OneGoal One Company manufactures windows. Its manufacturing plant has the capacity to produce 11,000...
The Goal OneGoal One Company manufactures windows. Its
manufacturing plant has the capacity to produce 11,000 windows each
month. Current production and sales are 10,000 windows per month.
The company normally charges $250 per window.
Cost information Variable costs that vary with number of units produced Direct materials 400,000 Direct manufacturing labour 350,000 Variable costs (for setups, materials handling, quality control, and so on) that vary with number of batches, 50 batches x $800 per batch 40,000 Fixed manufacturing costs...
Requirement 2. Suppose plant capacity were only 11,000 windows instead of 12,000 windows each month. The...
Requirement 2. Suppose plant capacity were only 11,000 windows instead of 12,000 windows each month. The special order must either be taken in full or be rejected completely. Should Award Plus accept the special​ order? Show your calculations. Complete the analysis below to determine if Award Plus should accept the special order under this scenario. Variable costs that vary with number of units produced Direct materials $600,000 Direct manufacturing labour 450,000 Variable costs (for setups, materials handling, quality control, and...
The Medal Plus Company manufactures windows. Its manufacturing plant has the capacity to produce 11,000 windows...
The Medal Plus Company manufactures windows. Its manufacturing plant has the capacity to produce 11,000 windows each month. Current production and sales are 10,000 windows per month. The company normally charges $250 per window. Cost information for the current activity level is as​ follows: Variable costs that vary with the number of units produced Direct materials $400,000 Direct manufacturing labor 350,000 Variable costs (for setups, materials handling, quality control, and so on) that vary with the number of batches, 50...
The Goal One Company manufactures windows. Its manufacturing plant has the capacity to produce 20,000 windows...
The Goal One Company manufactures windows. Its
manufacturing plant has the capacity to produce 20,000 windows each
month. Current production and sales are 15,000 windows per month.
The company normally charges $150 per window.
Goal One has just received a special one-time order
for 5,000 windows at $125 per window. Accepting the special order
would not affect the company's regular business or it's fixed
costs. Goal One makes windows die its existing customers in batch
sizes I'd 59 windows (300...
Can you help? ON Company manufactures windows. Its manufacturing plant has the capacity to produce 12,000...
Can you help? ON Company manufactures windows. Its manufacturing plant has the capacity to produce 12,000 windows each month. Current production and sales are 10,000 windows per month. The company normally charges $250 per window. Cost information for the current activity level is as follows: Variable Costs (per unit) Direct Material $60 Direct Manufacturing labour $75 Variable Costs (material handling, quality control, etc) $15 Fixed manufacturing costs $250,000 Fixed marketing costs $400,000 ON has just received a special one-time-only order...
The Medal Plus Company manufactures windows. Its manufacturing plant has the capacity to produce 20,000 windows...
The Medal Plus Company manufactures windows. Its manufacturing plant has the capacity to produce 20,000 windows each month. Current production and sales are 15,000 windows per month. The company normally charges $150 per window. Cost information for the current activity level is as follows: (Click the icon to view the cost information.) i (Click the icon to view the special order information.) 300,000 150,000 Variable costs that vary with number of units produced Direct materials Direct manufacturing labour Variable costs...
Adams Furniture receives a special order for 10 sofas for a special price of $4,400. The...
Adams Furniture receives a special order for 10 sofas for a special price of $4,400. The direct materials and direct labor for each sofa are $170. In addition, supervision and other fixed overhead costs average $220 per sofa. a1. What is the impact on operating income from accepting the special order? a2. Based solely on a short-term financial analysis, should Adams accept the special order? b1. If Adams is currently operating at full capacity, what would be the opportunity cost...
Mickey Corporation has a plant capacity of 100,000 units per month. Unit costs at capacity are:...
Mickey Corporation has a plant capacity of 100,000 units per month. Unit costs at capacity are: Direct materials $4.00 Direct labor 6.00 Variable overhead 3.00 Fixed overhead 1.00 Marketing (fixed) 7.00 Distribution (variable) 3.60 $24.60 Current monthly sales are 95,000 units at $30.00 each. Suzie, Inc., has contacted Mickey Corporation about purchasing 2,000 units at $24.00 each. Current sales would not be affected by the one-time-only special order. What is the change in operating profits if the one-time-only special order...
Special Order Pope Company manufactures a variety of hiking boots and has received a special one-time-only...
Special Order Pope Company manufactures a variety of hiking boots and has received a special one-time-only order from a new customer. Pope has sufficient idle capacity to accept the special order to manufacture 800 pairs of boots at a price of $48.00 per pair. Pope's normal selling price is $65.00 per pair of sneakers. Variable manufacturing costs are $35.00 per pair and fixed manufacturing costs are $12.00 a pair. Pope's variable selling expense for its normal line of sneakers is...
12. If a company must expand capacity to accept a special order, it is likely that there will be A) an increase in unit variable costs. B) no increase in fixed costs. C) an increase in variable and fixed costs per unit. D) an increase in fixed costs. 13. If a plant is operating at full capacity and receives a one-time opportunity to accept an order at a special price below its usual price, then A) only variable costs are...
The Goal OneGoal One Company manufactures windows. Its
manufacturing plant has the capacity to produce 11,000 windows each
month. Current production and sales are 10,000 windows per month.
The company normally charges $250 per window.
Cost information Variable costs that vary with number of units produced Direct materials 400,000 Direct manufacturing labour 350,000 Variable costs (for setups, materials handling, quality control, and so on) that vary with number of batches, 50 batches x $800 per batch 40,000 Fixed manufacturing costs...
The Goal One Company manufactures windows. Its
manufacturing plant has the capacity to produce 20,000 windows each
month. Current production and sales are 15,000 windows per month.
The company normally charges $150 per window.
Goal One has just received a special one-time order
for 5,000 windows at $125 per window. Accepting the special order
would not affect the company's regular business or it's fixed
costs. Goal One makes windows die its existing customers in batch
sizes I'd 59 windows (300...
The Medal Plus Company manufactures windows. Its manufacturing plant has the capacity to produce 20,000 windows each month. Current production and sales are 15,000 windows per month. The company normally charges $150 per window. Cost information for the current activity level is as follows: (Click the icon to view the cost information.) i (Click the icon to view the special order information.) 300,000 150,000 Variable costs that vary with number of units produced Direct materials Direct manufacturing labour Variable costs...
Special Order Pope Company manufactures a variety of hiking boots and has received a special one-time-only order from a new customer. Pope has sufficient idle capacity to accept the special order to manufacture 800 pairs of boots at a price of $48.00 per pair. Pope's normal selling price is $65.00 per pair of sneakers. Variable manufacturing costs are $35.00 per pair and fixed manufacturing costs are $12.00 a pair. Pope's variable selling expense for its normal line of sneakers is...
Most questions answered within 3 hours.
-
In Chapter 1 titled "So Close and Yet So Different", in "Why
Nations Fail" authors bring...
asked 9 seconds from now -
Assume that the correlation coefficient between achievement test
scores (X) and grade point averages (Y) among...
asked 2 minutes ago -
Which of these function correctly defines the function g(),
which should return a pointer to a...
asked 5 minutes ago -
Pickett Industries just paid a dividend of D0 = $1.10. Analysts
expect the company's dividend to...
asked 5 minutes ago -
Suppose a random sample of 900 measurements is taken from an
unknown population. The average of...
asked 8 minutes ago -
Suppose we add another SRC instruction xor ra, rb, rc that xors
the contents of registers...
asked 9 minutes ago -
Hello, I need some help creating this class in Java. This is for
a larger project....
asked 31 minutes ago -
Why does entrepreneurs trying to employ AI into their
business organizations? What are the advantages and...
asked 28 minutes ago -
// This program is supposed to display every fifth year
// starting with 2017; that is,...
asked 30 minutes ago -
for each of the following situation, explain in what way the
experimentally determine molecular weight would...
asked 37 minutes ago -
Meiosis makes _____ cells, mitosis makes _____ cells
diploid, haploid
No answer text provided.
diploid, diploid...
asked 43 minutes ago -
13. An object slides on a horizontal surface and comes to rest
with an acceleration of...
asked 45 minutes ago