Walton Company manufactures a product with the following costs per unit at the expected production level of 84,000 units: $\begin{array}{llr}
\text { Direct materials} &\$12\
\text { Direct labour } &36\
\text { Variable manufacturing overhead } &18\
\text { Fixed manufacturing overhead } &24\
\end{array}$

The company has the capacity to produce 90,000 units.The product regularly sells for $120.
-
If a wholesaler offered to buy 4,500 units for $100 each,what would be the effect of the special order on income?

Question

Walton Company manufactures a product with the following costs per unit at the expected production level of 84,000 units: $\begin{array}{llr}
  \text {  Direct materials} &\$12\
 \text { Direct labour } &36\
 \text { Variable manufacturing overhead } &18\
 \text { Fixed manufacturing overhead } &24\
\end{array}$

The company has the capacity to produce 90,000 units.The product regularly sells for $120.
-
If a wholesaler offered to buy 4,500 units for $100 each,what would be the effect of the special order on income?

Quizplus · Accepted Answer

The Answer of Walton Company manufactures a product with the following costs per unit at the expected production level of 84,000 units: $\begin{array}{llr}
  \text {  Direct materials} &\$12\
 \text { Direct labour } &36\
 \text { Variable manufacturing overhead } &18\
 \text { Fixed manufacturing overhead } &24\
\end{array}$

The company has the capacity to produce 90,000 units.The product regularly sells for $120.
-
If a wholesaler offered to buy 4,500 units for $100 each,what would be the effect of the special order on income?

Walton Company Manufactures a Product with the Following Costs Per