The Buchanan Company Has Gathered the Following Information for a Unit

question 12

Multiple Choice

The Buchanan Company has gathered the following information for a unit of its most popular product: The above cost information is based on 10,000 units.A distributor has offered to buy 2,000 units at a price of $32 per unit.This special order would not disturb regular sales.Special packaging and other selling expenses would be an additional -$0.50 per unit for the special order.If the special order is accepted,Buchanan's operating profits will increase by:

• A)$4,000.
• B)$6,400.
• C)$8,000.
• D)$19,000.

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Definitions:

Application Blanks

Standardized forms used by organizations to collect information from applicants, focusing on their background, work history, and qualifications.

Organizational Development (OD)

A field of research, theory, and practice dedicated to expanding the knowledge and effectiveness of people to accomplish more successful organizational change and performance.

Inclination

A person's natural tendency or urge to act or feel in a particular way; a disposition or propensity.

Similarity Error

A similarity error occurs when the interviewer is unduly influenced by the fact that the interviewee is similar to the interviewer in one or more important ways. As a result of the perception of similarity, the interviewer may be more favorably disposed toward the candidate than the candidate’s credentials warrant.