Question
1. A company is creating and selling a new product. They can sell EACH unit for $24.49. The variable costs per unit are $8.91 and
1. A company is creating and selling a new product. They can sell EACH unit for $24.49. The variable costs per unit are $8.91 and the fixed costs are $2311 per month. If the capacity is 745 units, what is the total cost at capacity? This value is calculated in Excel to find the break-even chart.
You must round the cost to the nearest cent and report it with appropriate units.
b. A company is creating and selling a new product. They can sell EACH unit for $24.49. The variable costs per unit are $8.91 and the fixed costs are $2311 per month. If the capacity is 745 units, what is the total revenue at capacity? This value is calculated in Excel to find the break-even chart.
You must round the revenue to the nearest cent and report it with appropriate units.
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