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Cottage Industries Ltd makes baskets. The Fixed Costs of operating the workshop for a month total $500. Each basket requires materials that cost $2. Each
Cottage Industries Ltd makes baskets. The Fixed Costs of operating the workshop for a month total $500. Each basket requires materials that cost $2. Each basket takes one hour to make, and the business pays the basket makers $10 an hour. The basket makers are all on contracts such that if they do not work for any reason, they are not paid. The baskets are sold to a wholesaler for $14 each. What is the BE in units for basket making for the business?
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