Martin Company incurred the following costs for 70,000 units: $\begin{array}{l}
\text { Variable costs } & \$ 420,000 \
\text { Fixed costs }&392,000
\end{array}$ Martin has received a special order from a foreign company for 3,000 units.There is sufficient capacity to fill the order without jeopardizing regular sales.Filling the order will require spending an additional $6,300 for shipping.
-If Martin wants to earn $6,000 on the order, what should the unit price be?

Question

Martin Company incurred the following costs for 70,000 units: $\begin{array}{l}
\text { Variable costs } & \$ 420,000 \
\text { Fixed costs }&392,000
\end{array}$ Martin has received a special order from a foreign company for 3,000 units.There is sufficient capacity to fill the order without jeopardizing regular sales.Filling the order will require spending an additional $6,300 for shipping. 
-If Martin wants to earn $6,000 on the order, what should the unit price be?

Quizplus · Accepted Answer

The Answer of Martin Company incurred the following costs for 70,000 units: $\begin{array}{l}
\text { Variable costs } & \$ 420,000 \
\text { Fixed costs }&392,000
\end{array}$ Martin has received a special order from a foreign company for 3,000 units.There is sufficient capacity to fill the order without jeopardizing regular sales.Filling the order will require spending an additional $6,300 for shipping. 
-If Martin wants to earn $6,000 on the order, what should the unit price be?

Martin Company Incurred the Following Costs for 70,000 Units Variable costs $420,000 Fixed costs 392,000\begin{array}{l}\text { Variable costs } & \$ 420,000 \\\text { Fixed costs }&392,000\end{array} Variable costs Fixed costs ​$420,000392,000​

Martin Company Incurred the Following Costs for 70,000 Units $\begin{array}{l}\text { Variable costs } & \$ 420,000 \\\text { Fixed costs }&392,000\end{array}$