A leading beverage company sells its signature soft drink brand in vending machines for $0.94 per 12 oz. can. A vending machine has monthly fixed costs of space rental, energy consumption, and capital depreciation of $131. Variable cost for a can of soda is $0.43.

The more pessimistic operations manager was concerned about rising costs and asked the sales manager, if fixed costs increase to $190 per month, and the variable costs increase by $.10 due to rising sugar costs, what is the new breakeven volume in units at the original price?

CALCULATED VARIABLES: newprice = $1.04 margin = $0.51