The Following Information Relates to Current Production of Outdoor Chaise

question 153

Multiple Choice

The following information relates to current production of outdoor chaise lounges Backyard Posh: The regular selling price per chaise lounge is $300.00. The company is analyzing the opportunity to accept a special sales order for 200 chaise lounges at a price of $200.00 per unit. Fixed costs would increase by $20,000. The company has the capacity to produce 15,000 chaise lounges per year, but is currently producing and selling 10,000 chaise lounges per year. Regular sales will not be affected by the special order. If the company were to accept this special order, how would operating income be affected?

• A)Decrease by $6,400
• B)Increase by $13,600
• C)Decrease by $13,600
• D)Increase by $6,400

Recognize the role of advanced practice nurses in psychiatric care.

Conduct comprehensive assessments of psychiatric patients, including those with impaired communication.

Implement appropriate nursing interventions for patients with suicidal ideation.

Apply nursing process phases appropriately in psychiatric nursing practice.

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Definitions:

Single-Step Income Statement

A simplified income statement that calculates net income by subtracting total expenses from total revenues with only one step.

Multiple-Step Income Statement

An income statement format that separates operating transactions from non-operating transactions, providing a detailed analysis of revenue and expenses.

Casualty Loss

A loss resulting from sudden, unexpected, or unusual events such as accidents, natural disasters, or theft, often deductible for tax purposes.

Net Sales

The financial income a business earns from sales activities, minus the deductions for returns, damaged or lost items allowances, and discounts.