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A soft drink company prepares regular its bottle at a variable cost of $0.25 and some fixed costs. The market price of the drink is

 A soft drink company prepares regular its bottle at a variable cost of $0.25 and some fixed costs. The market price of the drink is $2.5. 

a) If 10 million bottles are sold per year with a profit of $20.25 million dollars, what are the fixed costs of the company? What is the minimum production level that the company will make a profit? 

b) After some years the company modifies the design of the bottle which increases the variable cost by 10% and fixed cost also by 12%. If the company wants to maintain the same profit ($20.25 million) at the previous production level (10 million) what should be the minimum sale price? 

c) If the company decides to increase the market price to $3.0 what will be their annual profit?

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