47:23ktncesMSI has been approached by a fourth-grade teacher from Portland about the possibility of creating a specially designed game thatwould be customized for her classroom and environment. The teacher would like an educational game to correspond to her classroomcoverage of the history of the Pacific Northwest, and the state of Oregon in particular. MSI has not sold its products directly to teachersor school systems in the past, but its Marketing Department identified that possibility during a recent meeting.The teacher has offered to buy 1,600 copies of the CD at a price of $6.00 each. MSI could easily modify one of its existing educationalprograms about U.S. history to accommodate the request. The modifications would cost approximately $420. A summary of theinformation related to production of MSI's current history program follows:Direct materialsDirect laborVariable manufacturing overheadFixed manufacturing overheadTotal cost per unitSales price per unit$ 1.120.332.171.80$5.42$ 13.00Required:1. Compute the incremental profit (or loss) from accepting the special order.2. Should MSI accept the special order?3. Suppose the special order had been to purchase 1,600 copies of the program for $2.50 each. Compute the incremental profit (or< PrevS7 8 9 10of 12www588wwwNext >

Incremental Analysis is the comparion for revenue and relevant cost to arrive at the net advantage…

would be customized for her classroom and environment. The teach coverage of the history of the Pacific Northwest, and the state of Ore or school systems in the past, but its Marketing Department identifie The teacher has offered to buy 1,600 copies of the CD at a price of $ programs about U.S. history to accommodate the request. The modif information related to production of MSI's current history program for Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead $1.12 0.33 2.17 1.86

would be customized for her classroom and environment. The teach coverage of the history of the Pacific Northwest, and the state of Ore or school systems in the past, but its Marketing Department identifie The teacher has offered to buy 1,600 copies of the CD at a price of $ programs about U.S. history to accommodate the request. The modif information related to production of MSI's current history program for Direct materials Direct labor Variable manufacturing overhead Fixed manufacturing overhead $1.12 0.33 2.17 1.86

Essentials of Business Analytics (MindTap Course List)

2nd Edition

ISBN:9781305627734

Author:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Publisher:Jeffrey D. Camm, James J. Cochran, Michael J. Fry, Jeffrey W. Ohlmann, David R. Anderson

Chapter5: Probability: An Introduction To Modeling Uncertainty

Section: Chapter Questions

Problem 12P: RunningWithTheDevil.com created a web site to market running shoes and other running apparel....

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HOMEWORK Question 1 Compute the incremental profit (or loss) from accepting the special order. Please solve and explain. MSI has been approached by a fourth-grade teacher from Portland about the possibility of creating a specially designed game that would be customized for her classroom and environment. The teacher would like an educational game to correspond to her classroom coverage of the history of the Pacific Northwest, and the state of Oregon in particular. MSI has not sold its products directly to teachers or school systems in the past, but its Marketing Department identified that possibility during a recent meeting. The teacher has offered to buy 1,000 copies of the CD at a price of $5 each. MSI could easily modify one of its existing educational programs about U.S. history to accommodate the request. The modifications would cost approximately $500. A summary of the information related to production of MSI’s current history program follows: Direct materials$1.50Direct…
4. Suppose that MSI is operating at full capacity. To accept the special order, it would have to reduce production of the history program.Compute the special order price at which MSI would be indifferent between accepting or rejecting the special order MSI has been approached by a fourth-grade teacher from Portland about the possibility of creating a specially designed game thatwould be customized for her classroom and environment. The teacher would like an educational game to correspond to her classroomcoverage of the history of the Pacific Northwest, and the state of Oregon in particular. MSI has not sold its products directly to teachersor school systems in the past, but its Marketing Department identified that possibility during a recent meeting.The teacher has offered to buy 2,000 copies of the CD at a price of $6.00 each. MSI could easily modify one of its existing educationalprograms about U.S. history to accommodate the request. The modifications would cost approximately…
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The Shining Stars primary school was the recent recipient of a technology grant to source and implement a school management system. The school administrator is not technology savvy and therefore sought advice from three of the board members who were knowledgeable in the information systems and technology field. One director advised the administrator to purchase an off-the-shelf solution that would allow the school to get the system configured and up and running in a short period with reasonable costs. The second advised the administrator to invest in the development of a unique system to meet the custom requirements of the school’s administration. He suggested that this would create a closer fit to the school’s needs compared to purchasing software, but will cost more. The third director suggested using an open-source solution which would have little if any upfront costs but may require some customization. The school administrator must decide about which solution to go with.…
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