20.8 The manager of a small business. has received enquiries about printing three different types of advertising leaflet. Information concerning these three leaflets is shown below:

In additiotno the specific fixed costs a further £4 000 per month would be incurred in renting special premises if any or all of the above three leaflets were printed.
The minimum printing order would be for 30 000 of each type of leaflet per month and the maximum possible order is estimated to be 60 000 of each leaflet per month.

Required:

Transcribed Image Text:

Leaflet type A B C Selling price, per 1000 leaflets 100 220 450 Estimated printing costs: Variable, per 1000 leaflets 40 70 130 Specific fixed costs, per month 2 400 4 000 9 500