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Cu 1 (5 diem): Jane is a shoe trader. She rents a shop for USD2,000 per month. The selling price is USD240 per pair
Cu 1 (5 diem): Jane is a shoe trader. She rents a shop for USD2,000 per month. The selling price is USD240 per pair of shoes, which she purchases from the manufacturer for USD200 per pair of shoes. Required: i. How many pairs of shoes must be sold each month to get breakeven? ii. Jane has a target monthly profit of USD4,000. How many pairs of shoes must be sold each month to get the target profit? iii. If Jane wants to reduce the business risk (ie. getting the breakeven and target income early), what should be done?
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