Seedem Manufacturing was approached by the international seed firm,Planting Concepts,to request a one-time-only special order for a product similar to the domestic product produced at Seedem Manufacturing,which has excess capacity.The managerial accountant reported the following data,per unit,that is charged to regular clients:

Required:
Compute the full cost of the product,the contribution margin per unit,and the minimum acceptable price for the one-time-only special order.

Question

Seedem Manufacturing was approached by the international seed firm,Planting Concepts,to request a one-time-only special order for a product similar to the domestic product produced at Seedem Manufacturing,which has excess capacity.The managerial accountant reported the following data,per unit,that is charged to regular clients:
  
Required:
Compute the full cost of the product,the contribution margin per unit,and the minimum acceptable price for the one-time-only special order.

Quizplus · Accepted Answer

The Answer of Seedem Manufacturing was approached by the international seed firm,Planting Concepts,to request a one-time-only special order for a product similar to the domestic product produced at Seedem Manufacturing,which has excess capacity.The managerial accountant reported the following data,per unit,that is charged to regular clients:
  
Required:
Compute the full cost of the product,the contribution margin per unit,and the minimum acceptable price for the one-time-only special order.

Seedem Manufacturing Was Approached by the International Seed Firm,Planting Concepts,to