write:Does the quantitative analysis suggest that the company should accept the special order?Q2: Special Order DecisionsFirst determine if there is sufficient idle capacity to accept th

2eSlide # 13Suppose that the capacity of RobotBits is 107
000 units and projected sales to regular customers this year total 94
000 units. Does the quantitative analysis suggest that the company should accept the special order?Q2: Special Order DecisionsFirst determine if there is sufficient idle capacity to accept this order without disrupting normal operations:Projected sales to regular customers94
000unitsSpecial order8
000units102
000unitsRobotBits still has 5
000 units of idle capacity if the order is accepted. Compare incremental revenue to incremental cost:Incremental profit if accept special order =($24 selling price -$20 relevant costs) x 8
000 units = $32
0

 

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