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After doing some research, you anticipate that it will cost $.40 to produce one roll of on-the-go toilet paper (i.e.this is your variable or unit
After doing some research, you anticipate that it will cost $.40 to produce one roll of on-the-go toilet paper (i.e.this is your variable or unit cost). If your start-up costs are $12,000 and you price at a 150% mark-up above your variable cost, how many units would you need to sell to break even? Tip: In our first class, we defined "retail" markup as equal to (retail price wholesale price)/wholesale price. You can think about mark-up more generally unit price unit cost)/unit cost. Use this formula and the markup provided (150%) to solve for price. 15,000 30.000 20,000 10,000
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