Jewel Co. is setting up an online business importing and selling jewellery headphones. The cost of each set of headphones varies depending on the number purchased,
although they can only be purchased in batches of 1,000 units. It also has to pay import taxes which vary according to the quantity purchased.
Jewel Co. has already carried out some market research and identified that sales quantities are expected to vary depending on the price charged. Consequently, the following data have been established for the first month:

Required:
Calculate how many batches Jewel Co. should import and sell.

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Number of batches imported Average cost per unit Total fixed including costs per Expected selling and sold import taxes month price per unit ($) ($) ($) 1 10.00 10,000 20 23 8.80 10,000 18 7.80 12,000 16 4 6.40 12,000 13 5 6.40 14,000 12