Question
AFashion Boutique sells a pair of dress for $300. The cost for each pair of dress are: $65 for the fabrics, and tailor $62. The
AFashion Boutique sells a pair of dress for $300. The cost for each pair of dress are: $65 for the fabrics, and tailor $62. The boutique sales assistant also will receive commission 6% of sales. The monthly rental of the boutique is $5,000, and advertising is $1,200.
a) Calculate the total variable costs per pair of dress. b) How many pairs of dresses does DFashion Boutique need to sell in a month to breakeven? c) How many pairs of dresses need to be sold in order to achieve a profit margin of $10,000 together with an increase of variable cost to$150 per pair of dress?
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