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Sleepy Manufacturing currently produces 1,000 bicycles per month and has capacity for 2,000 bicycles. The following per unit data apply for sales to regular customers:

Sleepy Manufacturing currently produces 1,000 bicycles per month and has capacity for 2,000 bicycles. The following per unit data apply for sales to regular customers:

Selling price

$100

Variable manufacturing cost

50

Variable marketing cost

5

Fixed manufacturing cost

20

Fixed marketing cost

10

The firm has received an offer to sell 1,000 bicycles. What is the minimum price per unit the firm should be willing to accept for this offer?

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