The immanuel company has just obtained a request for a

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The Immanuel Company has just obtained a request for a special order of 6,000 jigs to be shipped at the end of the month at a selling price of $7 each. The company has a production capacity of 90,000 jigs per month with total fixed production costs of $144,000. At present, the company is selling 80,000 jigs per month through regular channels at a selling price of $11 each. For these regular sales, the cost for one jig is:

  • Variable production cost: $4.60
  • Fixed production cost: 1.80
  • Variable selling expense: 1.00

Reference no: EM13581576

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