Deal of The Day! Hurry Up, Grab the Special Discount - Save 25% - Ends In 00:00:00 Coupon code: SAVE25
Welcome to Pass4Success

- Free Preparation Discussions
Mail Us support@pass4success.com
Location US
Mob_nav_barsMENU

Saylor Exam BUS105 Topic 2 Question 3 Discussion

Actual exam question for Saylor's BUS105 exam
Question #: 3
Topic #: 2
[All BUS105 Questions]

Cat Hats Inc. produces lines of headwear for cats. They have been asked by a local animal shelter to produce a special order for dogs. Below is a special order differential analysis prepared by their managerial accountant. Using this information, what would be the result of accepting the special order?

Show Suggested Answer Hide Answer
Suggested Answer: A

by Lonny at Jul 04, 2025, 03:47 AM

Limited Time Offer

25%

Off

Get Premium BUS105 Questions as Interactive Web-Based Practice Test or PDF

Contribute your Thoughts:

Submit Cancel
Cherelle
12 hours ago
The contribution margin would also be $700, so it's a good deal overall.
upvoted 0 times
...
Glendora
1 days ago
Hold up, are we sure this isn't a trick question? I mean, who orders dog hats from a cat hat company? Anyway, I'm sticking with Option D, the $700 contribution margin.
upvoted 0 times
...
Jody
1 days ago
But what about the differential contribution margin?
upvoted 0 times
...
Sarah
4 days ago
Hmm, this is a tricky one. I'm torn between A and C, but I think I'll go with C. A differential contribution margin of $550 sounds about right.
upvoted 0 times
...
Cherelle
10 days ago
Because the differential profit would be $700 if we accept it.
upvoted 0 times
...
Kiley
11 days ago
I'm going with Option B. A differential profit of ($700) makes the most sense to me based on the information provided.
upvoted 0 times
Kristal
11 hours ago
I think Option B is the correct choice. The differential profit of ($700) seems like the most logical outcome.
upvoted 0 times
...
...
Florinda
14 days ago
Why do you think so, Cherelle?
upvoted 0 times
...
Cherelle
19 days ago
I think we should accept the special order for dogs.
upvoted 0 times
...
Anglea
23 days ago
Option D seems right. The differential contribution margin of $700 looks like the best choice here.
upvoted 0 times
Daren
2 days ago
It's clear that accepting the special order for dogs would be beneficial for the company based on the differential analysis.
upvoted 0 times
...
Alishia
6 days ago
Yes, I agree. That would result in a higher profit for Cat Hats Inc. compared to the other options.
upvoted 0 times
...
Scarlet
14 days ago
I think option D is the best choice. The differential contribution margin of $700 is the most profitable.
upvoted 0 times
...
...

Save Cancel