The C. Elliott Company budgeted the following for last year…
The C. Elliott Company budgeted the following for last year Sales of 20,000 printers at $90 per unit Variable manufacturing costs were budgeted at $48 per unit Fixed manufacturing costs were budgeted to be $12 per unit at a volume of 20,000 printers. A special order for 1,000 printers with a sales price of $72 each was received by the C. Elliot Company in April. There is enough plant capacity to meet these additional units without incurring any additional fixed manufacturing costs; however, the production would have to be done on an overtime basis at an estimated additional cost of $5 per printer. Acceptance of the special order would not affect C. Elliott’s normal sales. What would be the change to net operating income if the special order was accepted?
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