1. Pulse Pen has developed an ink pen with a USB drive that records every written word.

The product traditionally sells through major retailers like Best Buy. The retailers margin will be 20%. The industry demand for these types of pens is 80,000 pens per year.

The following cost information pertains to the new technology:

Software License (per year)...................................................... $200,000

Annual interest payments for equipment.................................. $100,000

Advertising and promotion each year........................................ $150,000

Developer royalties (per pen)...................................................... $25

Microprocessor (per pen)..............................................................$10

Material and Labor (per pen) ..................................... $15

Suggested Retail Price..$215

.Answer the following questions:

1. What is Pulse Pens price to the retailers?
2. What is the contribution per unit?

c. Break-even volume in units?

d. What is Break-even market share?

PLEASE SHOW YOUR WORK FOR THE ANSWERS THANK YOU :)