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Meyerson's Bakery is considering the addition of a new line of pies to its product offerings. It is expected that each pie will sell for
Meyerson's Bakery is considering the addition of a new line of pies to its product offerings. It is expected that each pie will sell for $10 and the variable costs per pie will be $4. Total fixed operating costs are expected to be $18,000. Meyerson's faces a marginal tax rate of 35%, will have interest expense associated with this line of $3,000, and expects to sell about 2,500 pies in the first year. Use the Goal Seek tool to determine the selling price per pie that would allow Meyerson's to break even in terms of its net income
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