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I. A producer of felt-tip pens has received a forecast of demand of at least 40,000 pens for the coming month from its marketing department.
I. A producer of felt-tip pens has received a forecast of demand of at least 40,000 pens for the coming month from its marketing department. Fixed costs are $25,000 per month, and variable costs are 20 cents per pen. a. Find the break-even quantity the company must produce if pens sell for $1 each. b. Find the quantity to be produced to realize a profit of $12,000
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