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Selling price is $50/unit, VC are $36/unit, Fixed costs are $280,000, current net income is $140,000.You are thinking about starting an advertising campaign that will
Selling price is $50/unit, VC are $36/unit, Fixed costs are $280,000, current net income is $140,000.You are thinking about starting an advertising campaign that will cost and extra $40,000 and instead of leaving the selling price the same, you have decided to increase the price.What should your selling price be per unitif you willsell the same number of units as you are currently sellingand you want net income to be $160,000 ?
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