Question
Lavendell, an herbal exfoliating soap, is projected to have sales of 6,000 units next year equivalent to $2,400,000. Its variable cost to produce and
Lavendell, an herbal exfoliating soap, is projected to have sales of 6,000 units next year equivalent to $2,400,000. Its variable cost to produce and market is $300 per unit while fixed cost is $34,000 per month. Answer the following questions, consider each independently. a. What is the projected breakeven per year? (Round up to nearest whole number) (5 pts) b. How much should the sales be to earn a profit of $50,000 per month? (Round up to nearest two decimal places) c. If the selling price per unit declines by 10%, what is the breakeven point in sales? (Round up to nearest two decimal places)
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