Question
Product Pricing: Single Product Sue Bee Honey is one of the largest processors of its product for the retail market. Assume that one of its
Product Pricing: Single Product Sue Bee Honey is one of the largest processors of its product for the retail market. Assume that one of its plants has annual fixed costs totaling $9,600,000, of which $3,600,000 is for administrative and selling efforts. Sales are anticipated to be 800,000 cases a year. Variable costs for processing are $24 per case, and variable selling expenses are 25 percent of selling price. There are no variable administrative expenses. If the company desires a profit of $6,000,000, what is the selling price per case? Round answer to two decimal places.
___ price per case
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