Question
find the instant coffee sales breakeven point (in units) for 2019 in Mexico, for NESTLE, a company that manufactures and sales instant coffee product in
find the instant coffee sales breakeven point (in units) for 2019 in Mexico, for NESTLE, a company that manufactures and sales instant coffee product in a 300 grams presentation, in Mexico, and want to have an EBITDA (operating profit) of $1.2 million US dollars in 2019. Consider that its Cost of goods sold for that product is 40 pesos per unit and its expenses in Mexico are $1,950,000 Mexican pesos per month. Its pricing strategy is to sell each unit in 2019 for the average price of the last 5 years, so they can be very competitive. Additional information:
2008 | 2009 | 2010 | 2011 | 2012 | 2013 | 2014 | 2015 | 2016 | 2017 | 2018 | |
Exchange Rate (in pesos per 1 dollar) | 11.13 | 13.51 | 12.64 | 12.42 | 13.17 | 12.77 | 13.29 | 15.85 | 18.66 | 18.9 | 19.2 |
Annual Sales in Mexico (in '000 pesos) | 10000 | 12343 | 15236 | 18806 | 23213 | 28652 | 35366 | 43653 | 53882 | 66509 | 70000 |
Annual Sales in Mexico (in '000 units) | 90.9 | 112.2 | 138.49 | 170.94 | 211 | 260.44 | 321.47 | 396.8 | 489.8 | 604.56 | 702 |
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