Variations Company had the following results of operations for the past year: A foreign company (whose sales will not affect Variations' regular sales)offers to buy 700 units at $4.00 per unit.In addition to variable manufacturing costs,there would be an export cost of $0.30 per unit.Prepare an analysis of this additional business to show whether Variations should take this order.

Question

Variations Company had the following results of operations for the past year:  A foreign company (whose sales will not affect Variations' regular sales)offers to buy 700 units at $4.00 per unit.In addition to variable manufacturing costs,there would be an export cost of $0.30 per unit.Prepare an analysis of this additional business to show whether Variations should take this order.

Quizplus · Accepted Answer

The Answer of Variations Company had the following results of operations for the past year:  A foreign company (whose sales will not affect Variations' regular sales)offers to buy 700 units at $4.00 per unit.In addition to variable manufacturing costs,there would be an export cost of $0.30 per unit.Prepare an analysis of this additional business to show whether Variations should take this order.

Variations Company Had the Following Results of Operations for the Past