Maritime Sail Makers manufactures sails for sailboats. The company has the capacity to produce 37 comma 000 sails per year and is currently producing and selling 30 comma 000 sails per year. The following information relates to current production: Sales price per unit $ 175 Variable costs per unit: Manufacturing $ 60 Selling and administrative $ 10 Total fixed costs: Manufacturing $ 675 comma 000 Selling and administrative $ 250 comma 000 If a special pricing order is accepted for 5 comma 500 sails at a sales price of $ 160 per unit, fixed costs remain unchanged, and there are no variable selling and administrative costs for this order, what is the change in operating income?
+2
Answers (1)
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Maritime Sail Makers manufactures sails for sailboats. The company has the capacity to produce 37 comma 000 sails per year and is currently ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Home » Business » Maritime Sail Makers manufactures sails for sailboats. The company has the capacity to produce 37 comma 000 sails per year and is currently producing and selling 30 comma 000 sails per year.