hw3.1

Minden Company introduced a new product last year for which it is trying to find an optimal selling price. Marketing studies suggest that the company can increase sales by 5,000 units for each $2 reduction in the selling price. The companys present selling price is $100 per unit, and variable expenses are $70 per unit. Fixed expenses are $832,200 per year. The present annual sales volume (at the $100 selling price) is 25,100 units.

Required: