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question 103

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Use the information below to answer the following question(s) :
Venus Corporation provided the following information regarding its single product:
Use the information below to answer the following question(s) : Venus Corporation provided the following information regarding its single product:     The regular selling price for the product is $75. The annual quantity of units produced and sold is 20,000 units (the costs above relate to the 20,000 units production level) . There was no beginning inventory. -What would be the effect on Venus Corporation's operating income of accepting a special order for 3,000 units at a sale price of $65 per product? The company has excess capacity and regular sales will not be affected by this special order. A)  Increase by $327,000 B)  Increase by $63,000 C)  Decrease by $327,000 D)  Decrease by $63,000
The regular selling price for the product is $75. The annual quantity of units produced and sold is 20,000 units (the costs above relate to the 20,000 units production level) . There was no beginning inventory.
-What would be the effect on Venus Corporation's operating income of accepting a special order for 3,000 units at a sale price of $65 per product? The company has excess capacity and regular sales will not be affected by this special order.

Calculate the cash position given financial information.
Analyze the financial impact of sales growth on fixed assets and required additions.
Understand the concept of sustainable growth and the requirement for external financing under different growth scenarios.
Calculate external financing needs based on sales growth, capacity utilization, and dividend payout ratios.

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