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A product currently sells for $15 per unit. The variable costs are $6 per unit, and 8000 units are sold annually and a profit of
A product currently sells for $15 per unit. The variable costs are $6 per unit, and 8000 units are sold annually and a profit of $40,000 is realized per year. A new design will increase the variable costs by %20 and Fixed Costs by %10 but sales will increase to 10,000 units per year. At what selling price do we break even.
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