Pinto Co.has received a special order for 2,000 units of its product at a special price of $75.The product normally sells for $100 and has the following manufacturing costs: Assume that Pinto Co.has sufficient capacity to fill the order without harming normal production and sales.If Pinto Co.accepts the order,what effect will the order have on the company's short-term profit?

A)$30,000 decrease
B)$30,000 increase
C)$50,000 decrease
D)$20,000 increase

Question

Pinto Co.has received a special order for 2,000 units of its product at a special price of $75.The product normally sells for $100 and has the following manufacturing costs: Assume that Pinto Co.has sufficient capacity to fill the order without harming normal production and sales.If Pinto Co.accepts the order,what effect will the order have on the company's short-term profit?

A)$30,000 decrease 
B)$30,000 increase 
C)$50,000 decrease 
D)$20,000 increase

Quizplus · Accepted Answer

The Answer of Pinto Co.has received a special order for 2,000 units of its product at a special price of $75.The product normally sells for $100 and has the following manufacturing costs: Assume that Pinto Co.has sufficient capacity to fill the order without harming normal production and sales.If Pinto Co.accepts the order,what effect will the order have on the company's short-term profit?

A)$30,000 decrease 
B)$30,000 increase 
C)$50,000 decrease 
D)$20,000 increase

Pinto CoHas Received a Special Order for 2,000 Units of Its