Acc346 Managerial Accounting: (TCO 7, 8) English Company produces

Acc346 Managerial Accounting

(TCO 7, 8) English Company produces 5,000 units of part number 1011 as a component used in electronic equipment. Normal selling price is $50. Costs to make the product are as follows:
Direct Labor $14
Direct Material $12
Variable Factory Overhead $6
Fixed Factory Overhead $4

English Company has been approached by a company to sell the company 2,000 units of part 1011 for $35.

Should English accept this special order and what impact will it have on total profits? Back up your answer with appropriate calculations
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