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Maker Sun Chairs is trying to determine the optimal price to charge for its galvanized deck chairs. The company has total fixed costs of $120,000

Maker Sun Chairs is trying to determine the optimal price to charge for its galvanized deck chairs. The company has total fixed costs of $120,000 and the deck chairs have a unit variable cost of $27.00 per unit. Maker Sun Chairs has determined that the following relationships exist between price and demand:

Unit Price Unit Demand

$45 7,200

$44 7,800

$43 8,400

$42 8,800

What is the anticipated profit at a price of $42?

Maker Sun Chairs is trying to determine the optimal price to charge for its galvanized deck chairs. The company has total fixed costs of $120,000 and the deck chairs have a unit variable cost of $27.00 per unit. Maker Sun Chairs has determined that the following relationships exist between price and demand:

Unit Price Unit Demand

$45 7,200

$44 7,800

$43 8,400

$42 8,800

What is the anticipated profit at a price of $42?

12,000

$132,000

$249,600

$369,600

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