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HELP Designer Dollhouses manufactures dollhouse kits that are meant to be assembled by customers. Each kit sells for $60 and has $12 in fixed production
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Designer Dollhouses manufactures dollhouse kits that are meant to be assembled by customers. Each kit sells for $60 and has $12 in fixed production costs and $10 in variable production costs. Rather than selling these kits unassembled, the firm is thinking about selling the dollhouses fully assembled and sell for $95 each. The additional variable costs for assembling one dollhouse are expected to be $4 and the additional fixed costs are expected to be $10. Prepare an incremental analysis whether the dollhouses should be assembled or not.
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