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Product Pricing: Single Product Assume that you plan to open a Pinkberry franchise at a local shopping mall. Fixed operating costs for the year are

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Product Pricing: Single Product Assume that you plan to open a Pinkberry franchise at a local shopping mall. Fixed operating costs for the year are projected to be $144,500. Variable costs per serving include the cost of the ice cream and cone, $1.50, and a franchise fee payable to Pinkberry, $0.20. A market analysis prepared by Pinkberry indicates that annual sales should total 130,000 servings. Determine the price you should charge for each serving to achieve a $125,000 pretax profit for the year. Round answer to two decimal places. $ 3.77 * price per cone

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