Your answer is partially correct. Try again. Blue Spruce Manufacturing has an annual capacity of...

70.2K

Verified Solution

Question

Accounting

image

Your answer is partially correct. Try again. Blue Spruce Manufacturing has an annual capacity of 80,300 units per year. Currently, the company is making and selling 78,100 units a year. The normal sales price is $103 per unit, variable costs are $65 per unit, and total fixed expenses are $2,000,000. An out-of-state distributor has offered to buy 5,300 units at $75 per unit. Blue Spruce's cost structure should not change as a result of this special order. By how much will Blue Spruce's income change if the company accepts this order? Blue Spruce' net income will decrease by $ if it accepts the special order

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students