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Pedal Bikes sells unassembled bikes for $125. Production costs are $40 variable and $20 fixed. Because of unused capacity and customer requests, Pedal Bikes is

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Pedal Bikes sells unassembled bikes for $125. Production costs are $40 variable and $20 fixed. Because of unused capacity and customer requests, Pedal Bikes is considering assembling the bikes and selling them for $200. Additional variable finishing/assembling costs are expected to be $65 with no increase in fixed costs. Should Pedal Bikes sell unassembled or assembled bikes and why? Assembled and make an extra $10 per bike Unassembled and save $65 per bike Unassembled-assembling bikes is a BIG hassle Assembled and make an extra $75 per bike Question 3 & point) Old People Racquets manufactures pickleball racquets in four different models. For the year, the Ancient People racquet line had a net loss of $40,000 from sales of $250,000, variable costs of $180,00 and fixed costs of $110,000. If the Ancient People line is eliminated, $30,000 of fixed costs will remain. Should the line be eliminated and why or why not? It should he kent and save the comnany $10.000 Book Pro

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