A Company Has Just Received a Special, One-Time Order for 1,000

question 121

Essay

A company has just received a special, one-time order for 1,000 units. Producing the order will have no effect on the production and sales of other units. The buyer's name will be stamped on each unit, at a cost of $1.50 per unit. Normal cost data, excluding stamping, follows:
Direct materials…………………………… $ 10 per unit Direct labor……………………………….. 16 per unit Variable overhead………………………… 4 per unit Allocated fixed overhead…………………. 12 per unit
Allocated fixed selling expense…………… 8 per unit
Prepare an analysis that indicates the selling price per unit this company will require to earn $3,000 on the order.

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Definitions:

Insect Vector

A term referring to insects that transmit pathogens from one host to another, causing diseases in humans and animals.

Malaria

A life-threatening disease transmitted by mosquitoes, caused by Plasmodium parasites, characterized by fever, chills, and flu-like symptoms.

Infectious Disease

Diseases caused by pathogenic microorganisms, such as bacteria, viruses, parasites or fungi, that can be spread, directly or indirectly, from one person to another.

Infectious Disease

Illnesses caused by pathogens such as bacteria, viruses, fungi, or parasites that are transmitted directly or indirectly from one person to another.