Question
Hang Ten will have to sell packages to generate $30,000 of operating income. Hang Ten H a n g T e n produces sport socks.
Hang Ten will have to sell | packages to generate $30,000 of operating income. |
Hang TenHangTen produces sport socks. The company has fixed expenses of $ 90 comma 000$90,000 and variable expenses of $ 0.90$0.90 per package. Each package sells for $ 1.80$1.80. The number of packages Hang TenHangTen needed to sell to earn aa $ 30 comma 000$30,000 operating income was 133 comma 334133,334 packages left parenthesis rounded right parenthesis .packages(rounded). If Hang TenHangTen can decrease its variable costs to $ 0.70$0.70 per package by increasing its fixed costs to $ 105 comma 000$105,000, how many packages will it have to sell to generate $ 30 comma 000$30,000 of operatingincome? Is this more or less thanbefore? Why?
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