Windham industries has an annual plant capacity of 80,000 units; current production is 65,000 units per year. at the current production volume, the variable cost per unit is $40.00, and the fixed cost per unit is $4.50. the normal selling price of windham’s product is $60.00 per unit. windham has been asked by ramone company to fill a special order for 8,000 units of the product at a special sales price of $38.00 per unit. ramone is located in a foreign country where windham does not currently operate. ramone will market the units in its country under its own brand name, so the special order is not expected to have any effect on windham’s regular sales. by how much will operating income change if the special order is accepted?

What do economists mean when they use the latin expression ceteris paribus?

Ida sidha karya company is a family-owned company located on the island of bali in indonesia. the company produces a handcrafted balinese musical instrument called a gamelan that is similar to a xylophone. the gamelans are sold for $860. selected data for the company’s operations last year follow: units in beginning inventory 0 units produced 320 units sold 285 units in ending inventory 35 variable costs per unit: direct materials $ 135 direct labor $ 355 variable manufacturing overhead $ 30 variable selling and administrative $ 15 fixed costs: fixed manufacturing overhead $ 64,000 fixed selling and administrative $ 27,000 the absorption costing income statement prepared by the company’s accountant for last year appears below: sales $ 245,100 cost of goods sold 205,200 gross margin 39,900 selling and administrative expense 31,275 net operating income $ 8,625 required: 1. under absorption costing, how much fixed manufacturing overhead cost is included in the company's inventory at the end of last year? 2. prepare an income statement for last year using variable costing. what is the amount of the difference in net operating income between the two costing methods?

Sonic corp. manufactures ski and snowboarding equipment. it has estimated that this year there will be substantial growth in its sales during the winter months. it approaches the bank for credit. what is the purpose of such credit known as? a. expansion b. inventory building c. debt management d. emergency maintenance