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Part 1 Pickle Pricing: Assume that you are in charge of pricing for a firm that produces pickles. You have fixed costs of $2,000,000. Variable

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Part 1 Pickle Pricing: Assume that you are in charge of pricing for a firm that produces pickles. You have fixed costs of $2,000,000. Variable costs are $0.75 per jar of pickles. You are selling your product to retailers for $0.89. You sell the pickles in cases of 24 jars per case. A. How many jars of pickles must you sell to break-even? B. How much must you sell in dollars to break-even? C. How many jars of pickles must you sell to break-even plus make a profit of $300,000? D. Assume a retailer buys your product for $0.89. His business requires that he prices products with a 35 percent markup on cost. Calculate his selling price. D. Assume a retailer buys your product for $0.89. His business requires that he prices products with a 35 percent markup on cost. Calculate his selling price. E. Assume you have an MSRP of $1.39 for the pickles. If a retailer has a required 35 percent retailer margin on all products he sells, what is the most he is willing to pay the producer for the pickles? Part 2 Pricing for Retail Clothing: A clothing retailer knows that to break even and make a profit he needs to have a minimum retailer margin (also referred to as a contribution margin or gross margin) of at least 60 percent. If he is to sell a pair of shorts for the manufacturer's suggested retail price of $49.99, what is the most he can pay the manufacturer for the shorts and maintain his margin? Part 3 Pricing for Hospital Gowns: A salesperson is developing a quote for a quantity of disposable hospital gowns. His cost for each case of gowns is $85.00. His firm requires that he have a 20 percent margin so he is using a markup on selling price calculation to price the gowns. What will his quote be per case of gowns if he uses a 20 percent markup on selling price

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