- Questions 4 And 5 Are Based On The Following Information As Of December 1 2021 X Company Had Produced And Sold 66 300 1 (54.78 KiB) Viewed 50 times
Questions 4 and 5 are based on the following information: As of December 1, 2021, X
Company had produced and sold 66,300 units of its only product. The following is the
company's December 1 Income
Statement: Sales Cost of goods sold Gross profit Selling & administrative costs Profit Total $928,200 570, 180 358,020 192,270 $165,750 Per-Unit $14.00 8.60 5.40 2.90 $2.50 Analysis of cost of goods sold reveals that $125,970 of it was fixed; a similar analysis of selling administrative costs reveals that $99,450 of it was variable. On December 2, a
company offered to buy 4,480 units for $12.62 each. Because the special order product was slightly different than the regular product, direct material costs were expected to increase by S0.25 per unit, and some special equipment would have to be rented for a total of $19,000. 4. What would profit have been on the special order? Submit Answer Tries 0/4 5. If X
Company had accepted the special order, it would have had to lower the selling price of its regular product to $13.62 per unit to prevent the loss of regular customers. This price reduction would have decreased
company profits by Submit Answer Tries 0/4