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Carla Vista Designs makes various accessories for pets. Their trademark product. PetBed is perceived to be high quality but not extravagant, and is sold in

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Carla Vista Designs makes various accessories for pets. Their trademark product. PetBed is perceived to be high quality but not extravagant, and is sold in a variety of pet stores. Margaret Moore, marketing manager, has convinced her bors that they are missing an important segment of the market. "We can increase the quality of the material and design and market Pet Bed to a higher end clientele. Margaret claims. "We won't compete with our existing product. It's win win!" PetBeds sell for $ 120 each, Margaret estimates the grass margin at $ 40. After working with production engineers and the marketing research team, Margaret has designed a bed that she believes the new market segment will purchase $ 200 for. The production engineers and accountants believe it will cost about $ 120 to make If Carla Vista Designs uses cost-plus pricing and prices most products like the original Pet Bed, what should be the price of the high-end PetBed? (Round answer to O decimal places, eg. 25,000.) 1 per bed Price of the high-end PetBed Three years ago, Elizabeth Brown started a business that creates and delivers holiday and birthday gift baskets to students at the local university, Elizabeth sells the baskets for $31 each and her variable costs are $21 per basket. She incurs $14.000 in fred costs each year. (a) Your answer is correct How many baskets will Elizabeth have to sell this year if she wants to earn $29.000 in operating income? (Round answer too decimal places, eg. 5,275) 4300 baskets Last year, Elizabeth sold 4,000 baskets, and she believes that demand this year will be stable at 4,000 baskets. The following are the actions Elizabeth could take if she wants to earn $29,000 in operating income by selling only 4,000 baskets. Consider each action independently. (Round per unit answers to 2 decimal places, eg. 52.75 and fixed cost to O decimal places, eg. 5275) 1. Raise selling price per unit to 2. $ Reduce variable costs per unit to 3. Reduce fixed costs to

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