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  3. industrial company product (y) and the annual prod

Industrial Company product (y) and the annual production capacity is 200000 units, expected the company...

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Accounting

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Industrial Company product (y) and the annual production capacity is 200000 units, expected the company product only 70% of available capacity, the estimated cost per unit variable as follows:- Direct Materials 4 dinars, direct labor 2 dinars, F.O.H 2 dinars, direct marketing cost 1 dinar. The fixed costs of this industrial company 50000 dinars and 30000 dinars marketing, and administrative 5000 dinars, and sells at the price of 30 dinars per unit. One of the government agencies provided an order includes by 24000 units of the product at the price of 20 dinars per unit and do not need this amount to the variable marketing costs and the company terms of the contract of transportation expenses this order and delivery to the Government an amount of 8000 dinars. Required: Answer (True) or (False) Net income without request = * 28550000: False True * The company accept this order: True False Net income differential analysis = 2800000 : False True

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