Question
Perks factory are setting up a factory to manufacture chocolate production. Their fixed costs are $373,765 per year. Their unit variable cost is $11.80 per
Perks factory are setting up a factory to manufacture chocolate production. Their fixed costs are $373,765 per year.
Their unit variable cost is $11.80 per ounce of chocolate production.
a) What selling price(s) should they charge per ounce of chocolate production to break even with sales revenue of $897,471 a year?
Associated equation : Quantity=Fixed Cost/(Price - Variable Cost)
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International Economics
Authors: Thomas A. Pugel
15th edition
73523178, 978-0077769529, 007776952X, 978-0073523170
