Problem 5-30A Break-Even and Target Profit Analysis [LO5, LO6]

The Marbury Stein Shop sells steins from all parts of the world. The owner of the shop, Clint Marbury, is thinking of expanding his operations by hiring college students, on a commission basis, to sell steins at the local college. The steins will bear the school emblem.

These steins must be ordered from the manufacturer three months in advance, and because of the unique emblem of each college, they cannot be returned. The steins would cost Marbury $23.00 each with a minimum order of 280 steins. Any additional steins would have to be ordered in increments of 50.

Because Marbury