Binghamton Kitchen Appliances is planning to produce an oven. The variable cost for this oven will be $200 while annual fixed costs of $300,000 are expected for production and marketing. Market research has estimated that at a price of p dollars, the demand for the oven would be (20,000,000)p.5. a. What is the breakeven price? b. What is the price that maximizes profit? (For convenience, assume that it varies in multiples of $50.) c. If the unit variable cost varies between 200 and 260 in multiple of 10, determine the best price for each. d. Now consider multiple-year cash flows. Suppose that Binghamton Kitchen Appliances incurred an R&D cost of $1,000,000. How many years will it take to breakeven if the oven is priced at the answer found in (b) at a 10% discount rate. (Answer independently of part c.) Binghamton Kitchen Appliances is planning to produce an oven. The variable cost for this oven will be $200 while annual fixed costs of $300,000 are expected for production and marketing. Market research has estimated that at a price of p dollars, the demand for the oven would be (20,000,000)p.5. a. What is the breakeven price? b. What is the price that maximizes profit? (For convenience, assume that it varies in multiples of $50.) c. If the unit variable cost varies between 200 and 260 in multiple of 10, determine the best price for each. d. Now consider multiple-year cash flows. Suppose that Binghamton Kitchen Appliances incurred an R&D cost of $1,000,000. How many years will it take to breakeven if the oven is priced at the answer found in (b) at a 10% discount rate. (Answer independently of part c.)