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Amish Ent makes wooden play sets. The company pays annual rent of $350,000 per year and pays salaries of $120,000 per year. Each play set
Amish Ent makes wooden play sets. The company pays annual rent of $350,000 per year and pays salaries of $120,000 per year. Each play set requires $300 of wood, ten hours of labor at $50 per hour, and variable overhead costs of $50. Fixed advertising expenses equal $40,000 per year. Each play set sells for $2350. What is their break-even output level?
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