Felix Inc. manufactures cameras and has monthly demand and capacity of 14,000 units and 16,000 units respectively. The variable cost is $148 per unit and the selling price is $288 per unit. What is the total opportunity cost foregone if the company accepts accept a special order of 3,000 units at $248 each in February? $280,000 O $140,000 O $ 40,000 $420,000

Cornerstones of Cost Management (Cornerstones Series)
4th Edition
ISBN:9781305970663
Author:Don R. Hansen, Maryanne M. Mowen
Publisher:Don R. Hansen, Maryanne M. Mowen
Chapter16: Cost-volume-profit Analysis
Section: Chapter Questions
Problem 9E: Gelbart Company manufactures gas grills. Fixed costs amount to 16,335,000 per year. Variable costs...
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Felix Inc. manufactures cameras and has monthly demand and capacity of 14,000 units
and 16,000 units respectively. The variable cost is $148 per unit and the selling price is
$288 per unit. What is the total opportunity cost foregone if the company accepts accept
a special order of 3,000 units at $248 each in February?
O $280,000
O $140,000
$ 40,000
O $420.000
Transcribed Image Text:Felix Inc. manufactures cameras and has monthly demand and capacity of 14,000 units and 16,000 units respectively. The variable cost is $148 per unit and the selling price is $288 per unit. What is the total opportunity cost foregone if the company accepts accept a special order of 3,000 units at $248 each in February? O $280,000 O $140,000 $ 40,000 O $420.000
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