Sky High Seats manufactures seats for airplanes. The company has the capacity to produce? 100,000 seats per? year, but is currently produces and sells? 75,000 seats per year. The following information relates to current production of? seats:
Sale price per unit
?$400
Variable costs per? unit:
Manufacturing
?$220
Marketing and administrative
?$50
Total fixed? costs:
Manufacturing
?$750,000
Marketing and administrative
?$200,000
If a special sales order is accepted for? 2,500 seats at a price of? $320 per? unit, fixed costs increase by? $5,000, and variable marketing and administrative costs for that order are? $25 per? unit, how would operating income be? affected? (NOTE: Assume regular sales are not affected by the special? order.)
Answers (1)
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “Sky High Seats manufactures seats for airplanes. The company has the capacity to produce? 100,000 seats per? year, but is currently ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
Lamar has just gotten a new job and is attending a company party where he will meet his colleagues for the first time. His boss escorts him around to small groups to introduce him.
Answers (1)
The Smoot-Hawley Tariff Act of 1930 Selected Answer: Incorrecta. resulted in foreign nations increasing their tariffs on U. S. export Answers: a. resulted in foreign nations increasing their tariffs on U. S. export b. decreased U. S.
Answers (1)
Features of a cover note
Answers (1)
2. The Muse Company just issued a dividend of $2.75 per share on its common stock. The company will maintain a 5.8% dividend growth indefinitely. The stock is selling for $59.00 per share. What is the company's cost of equity?
Answers (1)
What assumptions about the economy must be true for the invisible hand to work?
Answers (1)
New Questions in Business
What is an ineffective practice with regard to building trust within your department?
Answers (1)
Which of the following could be an ideal randomized controlled experiment to study the desired causal effect? A. Allow all students an extra day to study for the microeconomics exam.
Answers (1)
Does A Zebra Think Its Black On White or White On Black?
Answers (1)
Effective vision statements include a. financial objectives and projected figures. b. all strategic directions of the organization. c. strategic posturing and future objectives. d. a brief statement of the company's direction.
Answers (1)
True or false: people in business get ahead by meeting the needs of their consumers. as a result, both businesses and customers benefit from voluntary exchange.
Answers (1)