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Question 2 Fixed cost- Variable cost Price Explain your results: Evergreen Fertilizer Company produces fertilizer. The company's fixed monthly cost is $25,000, and its variable

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Question 2 Fixed cost- Variable cost Price Explain your results: Evergreen Fertilizer Company produces fertilizer. The company's fixed monthly cost is $25,000, and its variable cost per pound of fertilizer is $0.15. Evergreen sells the fertilizer for $0.40 per pound. Determine the monthly break-even volume for the company. VE Ibs. Page 2 Question 3 Fixed cost- Variable cost Price = VE kplain your results: Andy Mendoza makes handcrafted dolls, which he sells at craft fairs. He is considering mass producing the dolls to sell in stores. He estimates that the initial investment for plant and equip ment will be $25,000, whereas labor, material, packaging, and shipping will be about 10 per doll. If the dolls are sold for $30 each, what sales volume is necessary for Andy to break even? dolls Page 3

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