Question
Pierson pet Products produces two models of dog beds, basic and custom price calls, and expected sales volume data for the two models are as
Pierson pet Products produces two models of dog beds, basic and custom price calls, and expected sales volume data for the two models are as follows.
Selling price for bed.basic 32$&custom67$
variable cost for bed.basic 25$&custom 46$
Expected sells.basic $114000&custom $76000
total fixed cost 413.280
[a] What is the anticipated level of profits for the expected sales volumes? [b] Assuming that the expected product mix applies regardless of total sales computer break even volume? [c] If the product sells mixed water, change 23 basic beds for each custom bed, what would be the new break even volume?
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