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What is the current total profitloss and per unit

Problem

The Einstein Co has the following information:

Capacity in units 6,000
Sales in units 4,500
Sales Price $ 60.00
VC per unit $ 42.00
FC per unit $ 20.00

Colt Co. wants to buy a special order of 1200 units for $55.00 each.

1. What is the current total profit/loss and per unit profit/loss?
2. What is the special order total profit/loss and per unit profit/loss?
3. Should Einstein accept or reject the special order?
4. What is the minimum price that Einstein should accept?
5. If Einstein does not have capacity, does that change your answer?

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Accounting Basics: What is the current total profitloss and per unit

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Accounting Basics: What is the current total profitloss and per unit

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