A manufacturer sells a product for $115 per unit. The variable costs are $75 per unit and

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A manufacturer sells a product for $115 per unit. The variable costs are $75 per unit and the firm's fixed costs are $39,000 per month.

a. How many units would the manufacturer have to sell per month to break even?

b. If the fixed costs are increased by 15% and the variable costs are increased by 10%, what should be the new selling price to have the same break-even volume per month?

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Mathematics Of Business And Finance

ISBN: 9781927737545

4th Edition

Authors: Larry Daisley, Thambyrajah Kugathasan, Diane Huysmans

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