(Solved):Henderson Corporation has received a request for a special order of 9,200 units of product XYZ…

 

Question

Henderson Corporation has received a request for a special order of 9,200 units of product XYZ for $46.10 each. The normal selling price of this product is $51.20 each, but the units would need to be modified slightly for the customer. The normal unit product cost of product XYZ is computed as follows:

Direct materials $16.90
Direct labor 6.20
Variable manufacturing overhead 3.40
Fixed manufacturing overhead 6.30
Unit product cost

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