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Dom's Pizzeria sells pizza for $12/pizza with cost per unit at $4. They have fixed costs of about $25,000. Currently they sell approximately 5000 pizzas
Dom's Pizzeria sells pizza for $12/pizza with cost per unit at $4. They have fixed costs of about $25,000. Currently they sell approximately 5000 pizzas a month. Dom wants to raise prices to $15/pizza but expects pizza sales to drop to 4000. Is the company financially better in this situation? What will be their profit if they made this change
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