Question
Good evening. I need help with a couple of questions regarding Pricing in marketing. I believe most of what I have is correct, however can
Good evening. I need help with a couple of questions regarding Pricing in marketing. I believe most of what I have is correct, however can you double check my work, and assist me with the open ended questions?
Retro Vinyl Album package cost 1.30 per album
Songwriters royalties .40 per album
Recording artists royalties 1.10 per album
Advertising and promotion costs 280,0000
Studio Recording Inc's overhead costs 260,000
Selling price to the album distributor 9.25
The contribution per album unit should be 6.45?
Break even Volume in album units and dollars 83,721 units. Dollars?
Net profit if 1,000,000 albums are sold, 5,910,000?
Necessary Album unit volume to achieve a 200,000 dollar profit, 114,729?
If ACB studio Recordings responds to the market conditions and and decreases the selling price of the album to 8.00 from 9.25, the contribution per album should be 5.20?
Provided the album contribution is 520, the Break even volume in album units and dollars is 103,846 units, and 830,768 dollars?
Net profit if 1,000,000 albums are sold, 4,660,000?
Necessary album unit volume to achieve 200,000 dollar profit?
If ACB's overhead is reduced to 175.000, the break even volume in album units and dollars is?
The net profit if one million albums are sold is?
The necessary album unit volume to to achieve a 200,000 dollar profit?
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