Answer:
The correct answer is D.
Explanation:
Giving the following information:
Direct Materials $5.00
Direct Labor $3.00
Variable MOH $0.75
Fixed MOH $1.50
Hustle has received a special order from a customer who wants to pay a reduced price of $10 per pair of jeans for an order of 6,000 pairs of jeans.
Because it is a special offer, we will no have into account the fixed costs.
Increase in income= [10 - (5+3+0.75)]*6000= 7500