Answer:
Bargain Electronics
Bargain Electronics would realize a net income of $6,000 by accepting the special order.
Explanation:
a) data and Calculations:
Production costs of MP3 Player:
Variable cost = $20
Fixed cost = $10
Total costs = $30
Selling price = $45
Special order from a foreign wholesaler = 3,000 units
Special order selling price = $25 per unit
Additional special shipping costs per unit = $3
Variable production costs = $20
Total costs for the special order = $23 ($3 + $20)
Net income from special order = $6,000 ($2 * 3,000)
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Answer:
1- Wages Expense (Dr.) $1,025
Wages Payable (Cr.) $1,025
2- Wages Expense (Dr.) $1,845
Wages Payable (Cr.) $1,025
Cash (Cr.) $820
Explanation:
Wages expense = $205 * 5 days a week = $1,025 per week.
Wages expense = $205 * 4 days a week = $820 per week.