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1. Ships Ahoy is a small company that makes model sailboat kits priced at $120 each. The costs of the materials that go into each
1. Ships Ahoy is a small company that makes model sailboat kits priced at $120 each. The costs of the materials that go into each kit are $45. It costs $5 in labor to assemble a kit. The company has monthly expenses of $1,000 for rent and insurance, $200 for heat and electricity, $500 for advertising, and $3500 for the monthly salary of its owner. Last month the company sold 150 kits. a. What was Ships Ahoy's total revenue for the month? b. What is the unit variable cost for the model sailboat kit? c. What is the total fixed cost associated with producing the kits for one month
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