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Sierra Nevada mountain gear sells 1 million 1 - person tents per year at $ 2 5 5 each. Production and distribution costs $ 8
Sierra Nevada mountain gear sells million person tents per year at $ each. Production and distribution costs $ per tent. They are considering producing a person tent that will cost $ to produce and distribute. Then believe they can sell person tents per year at a price of $ each. If they introduce the person tent, they estimate that sales of the person tents will decline by units per year. What is the annual erosion cost from the person tent?
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