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  3. 3. a company is currently operating at 70% capacit

3. A company is currently operating at 70% capacity producing 12,000 units. Cost information relating...

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3. A company is currently operating at 70% capacity producing 12,000 units. Cost information relating to this current production is shown in the following table: Per Unit S21 Sales price Direct material Direct labor Variable overhead Fixed overhead $6.50 54.25 $2.40 S0.80 The company has been approached by a customer with a request for a special order for 5,000 units. A) Does the company have the capacity to do the special order? Show details and analysis to earn the points, not just yes or no. (3 Points) B) What is the minimum per unit sales price that management would accept for this order if the company wishes to increase current profits? Show details to earn the points. (4 Points)

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