Evergreen Orchards is reexamining the pricing of its fresh-squeezed pineapple juice in half-gallon containers. Variable costs per container are $1.50. The management has determined the price range to be between $2.50 and $3.00. Considering only prices in increments of 5 cents, which price should Evergreen choose to maximize its contribution margin from sales? Prepare the retained earnings statement based on this decision.

Price per Half Gallon	Estimated Demand (Half-Gallon Units)
$2.50	100,000
$2.55	97,000
$2.60	94,000
$2.65	91,000
$2.70	88,000
$2.75	85,000
$2.80	82,000
$2.85	79,000
$2.90	76,000
$2.95	73,000
$3.00	70,000