Business, 26.06.2020 15:01 annette211pdd8v9

Morrow Manufacturers Inc. is approached by a potential customer to fulfill a one-time-only special order for a product similar to one offered to domestic customers. The company has excess capacity. The following per unit data apply for sales to regular customers: Variable costs: Direct materials $130 Direct labor 60 Manufacturing support 105 Marketing costs 95 Fixed costs: Manufacturing support 175 Marketing costs 65 Total costs 630 Markup (50%) 315 Targeted selling price $945 What is the change in operating profits if the one-time-only special order for 1,030 units is accepted for $550 a unit by Morrow

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