Jennifer Brown has just become product manager for Brand X. Brand X is a consumer product with a retail price of $ 1.00. Retailer's margins on the product are 40%,based on the final selling price. Brand X and its direct competitors sell a total of 20 million units annually; Brand X has 25% of this market.

Variable manufacturing costs for Brand X are $0.15 per unit. Fixed manufacturing costs are $900,000. The Advertising budget for Brand X is $500,000. The Brand X product manager's salary and expenses total $35,000, breakage, insurance, and so forth are $0.04 per unit.

1. What is the price you (manufacturer) charge to the retailer? (1.5 pts)

1. Calculate the total fixed cost and the unit variable cost for brand X (for the manufacturer). (2.0 pts)

1. What is the unit margin for Brand X(for the manufacturer)? (1.0 pts)

1. What is Brand X's break-even point (for the manufacturer)? (2.0 pts)

1. What market share does Brand X need to break even (for the manufacturer).? (1.0 pts)

1. What quantity does Brand X sell now? (1.0 pts)

1. What is Brand X's profit now (for the manufacturer)? (1.5 pts)