Martin Incorporated Provided the Following Information Regarding Its Only Product

question 178

Multiple Choice

Martin Incorporated provided the following information regarding its only product: Assuming there is excess capacity, what would be the effect on operating income of accepting a special order for 3500 units at a sale price of $41 per product assuming additional fixed manufacturing overhead costs of $5100 is incurred? (NOTE: Assume regular sales are not affected by the special order. Round any intermediary calculations to the nearest cent.)

• A)Increase by $143,500
• B)Decrease by $75,225
• C)Increase by $75,225
• D)Increase by $80,325

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Definitions:

Positive Emotions

Feelings that are pleasant or beneficial, such as happiness, joy, and love.

Challenging Life Events

Significant occurrences that require substantial adjustment efforts, potentially causing stress and affecting an individual's psychological wellbeing.

Lack Emotion

Describes a state or condition where an individual experiences a diminished capacity to feel emotions, often referred to as emotional numbness.

Decks Of Cards

A set of typically 52 cards used in various games, each card having a specific rank and suit.