Zena Technology sells arc computer printers for $58 per unit. Unit product costs are: Zena Technology cost data Costs Amounts Direct materials $11 Direct labor 18 Manufacturing overhead A special order to purchase 14,499 arc printers has recently been received from another company and Zena has idle capacity to fill the order. Zena will incur an additional $6 per printer for additional labor costs due to a slight modification the buyer wants made to the original product. One-third of the manufacturing overhead costs is fixed and will be incurred no matter how many units are produced. When negotiating the price, what is the minimum selling price per unit that Zena should accept for this special order? Round to the nearest penny, two decimal places.

Zena Technology sells arc computer printers for $58 per unit. Unit product costs are: Zena Technology cost data Costs Amounts Direct materials $11 Direct labor 18 Manufacturing overhead A special order to purchase 14,499 arc printers has recently been received from another company and Zena has idle capacity to fill the order. Zena will incur an additional $6 per printer for additional labor costs due to a slight modification the buyer wants made to the original product. One-third of the manufacturing overhead costs is fixed and will be incurred no matter how many units are produced. When negotiating the price, what is the minimum selling price per unit that Zena should accept for this special order? Round to the nearest penny, two decimal places.

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter10: Short-term Decision Making

Section: Chapter Questions

Problem 4EA: Zena Technology sells arc computer printers for $55 per unit. Unit product costs are: A special...

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