[answered] At the end of the year, a company offered to buy 4,530 unit

At the end of the year, a company offered to buy 4,530 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 cost functions apply to X Company's regular production and sales of 67,300 units:

 Cost of goods sold \$146,041 + \$6.67X Selling and administrative expenses \$84,125 + \$1.30X Total \$230,166 + \$7.97X

5. Profit on the special order is...?

There is concern that regular customers will find out about the special order, and X Company's regular sales will fall by 950 units. These lost sales will cause X Company's profits to fall by...?

Special Order

Sale Revenue =

= 12 x 4530

54,360.00 Variable Cost of Production =

= 7.97 x 4530

36,104.10 Profit from special order = 18,255.90 Loss of Revenue =

= 19 x 950

18,050.00 Decline in...

Solution details:
STATUS
QUALITY
Approved

This question was answered on: Sep 18, 2020

Solution~0001005327.zip (25.37 KB)

This attachment is locked

We have a ready expert answer for this paper which you can use for in-depth understanding, research editing or paraphrasing. You can buy it or order for a fresh, original and plagiarism-free copy from our tutoring website www.aceyourhomework.com (Deadline assured. Flexible pricing. TurnItIn Report provided)

STATUS

QUALITY

Approved

Sep 18, 2020

EXPERT

Tutor