At the end of the year, a company offered to buy 4,050 units of a product from X Company for a special price of $12.00 each instead of the company's regular price of $18.00 each. The following information relates to the 63,200 units of the product that X Company made and sold to its regular customers during the year: Per-Unit Total Cost of goods sold $8.03 $507,496 Period costs 2.84 179,488 Total $10.87 $686,984 Fixed cost of goods sold for the year were $128,928, and fixed period costs were $85,320. Variable period costs include selling commissions equal to 3% of revenue. 6. Profit on the special order is Incorrect. Tries 1/3 Previous Tries 7. Assume the following two changes for the special order: 1) variable cost of goods sold will decrease by $0.86 per unit, and 2) there will be no selling commissions. What would be the effect of these two changes on the special order profit? Incorrect. Tries 1/3 Previous Tries 8. There is concern that regular customers will find out about the special order, and X Company's regular sales will fall by 950 units. As a result of these lost sales, X Company's profits would fall by
At the end of the year, a company offered to buy 4,050 units of a product...
At the end of the year, a company offered to buy 4,260 units of a product from X Company for a special price of $12.00 each instead of the company's regular price of $19.00 each. The following information relates to the 65,500 units of the product that X Company made and sold to its regular customers during the year: Per-Unit Total Cost of goods sold $9.38 $614,390 Period costs 2.70 176,850 Total $12.08 $791,240 Fixed cost of goods sold for...
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At the end of the year, a company offered to buy 4,930 units of a product from X Company for a special price of $11.00 each instead of the company's regular price of $18.00 each. The following information relates to the 65,900 units of the product that X Company made and sold to its regular customers during the year: Per-Unit Total Cost of goods sold Period costs Total $8.64$569,376 191,110 $11.54 $760,486 2.90 Fixed...
At the end of the year, a company offered to buy 5,000 units of a product from X Company for a special price of $11.00 each instead of the company's regular price of $19.00 each. The following information relates to the 68,400 units of the product that X Company made and sold to its regular customers during the year: Per-Unit Total Cost of goods sold $8.91 $609,444 Period costs 2.15 147,060 Total $11.06 $756,504 Fixed cost of goods sold for...
At the end of the year, a company offered to buy 4,440 units of a product from X Company for $11.00 each instead of the company's regular price of $19.00 each. The following income statement is for the 70,000 units of the product that X Company has already made and sold to its regular customers: Sales $1,330,000 Cost of goods sold 627,200 Gross margin $702,800 Selling and administrative costs 178,500 Profit $524,300 For the year, variable cost of goods sold...
Last year, X Company sold 64,900 units of its only product for
$18.00 each. Total costs were as follows:
Cost of goods sold
Variable
$425,095
Fixed
145,376
Selling and administrative
Variable
$86,966
Fixed
79,827
At the end of the year, a company offered to buy 4,170 units of the
product but only for $12.00 each. X Company had the capacity to
produce the additional units, and even though there would have been
no additional selling and administrative costs, it rejected...
Last year, X Company sold 67,200 units of its only product for
$17.00 each. Total costs were as follows:
At the end of the year, a company offered to buy 4,780 units of
the product but only for $12.00 each. X Company had the capacity to
produce the additional units, and even though there would have been
no additional selling and administrative costs, it rejected the
offer.
5. If X Company had accepted the special order, firm profits would
have...
Last year, X Company sold 64,200 units of its only product for $18.00 each. Total costs were as follows: Cost of goods sold Variable $483,426 Fixed 131,610 Selling and administrative Variable $70,620 Fixed 92,448 At the end of the year, a company offered to buy 4,500 units of the product but only for $11.00 each. X Company had the capacity to produce the additional units, and even though there would have been no additional selling and administrative costs, it rejected...
Last year, X Company sold 68,400 units of its only product for $19.00 each. Total costs were as follows: Cost of goods sold Variable Fixed Selling and administrative Variable Fixed $387,828 149,796 $77,292 102,600 At the end of the year, a company offered to buy 4,090 units of the product but only for $11.00 each. X Company had the capacity to produce the additional units, and even though there would have been no additional selling and administrative costs, it rejected...
Last year, X Company sold 63,500 units of its only product for $19.00 each. Total costs were as follows: Cost of goods sold Variable Fixed Selling and administrative Variable Fixed $436,245 141,605 $79,375 90,170 At the end of the year, a company offered to buy 4,930 units of the product but only for $12.00 each. X Company had the capacity to produce the additional units, and even though there would have been no additional selling and administrative costs, it rejected...
Last year, X Company sold 65,600 units of its only product for $19.00 each. Total costs were as follows: Cost of goods sold Variable $434,272 136,448 Fixed Selling and administrative Variable $96,432 Fixed 96,432 At the end of the year, a company offered to buy 4,200 units of the product but only for $12.00 each. X Company had the capacity to produce the additional units, and even though there would have been no additional selling and administrative costs, it rejected...