Question
Fruit Computer Company makes a fruit themed computer. Variable costs are $220 per unit, and fixed costs are $32,000 per month. Fruit Computer Company
Fruit Computer Company makes a fruit themed computer. Variable costs are $220 per unit, and fixed costs are $32,000 per month. Fruit Computer Company sells 500 units per month at a sales price of $300. The company believes that it can increase the price if the computer quality is upgraded. If so, the variable cost will increase to $240 per unit, and the foxed costs will rise by 50% The CEO wishes to increase the company's operating income by 10%. Which sales price level would give the desired results? (Round your answer to the nearest cent.) O $316.00 per unit O $353.60 per unit O $1020.00 per unit $294.00 per unit
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