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The manager of Coowie, Inc. is considering raising its current price of $30 per unit by 10%. If she does so, she estimates that demand
The manager of Coowie, Inc. is considering raising its current price of $30 per unit by 10%. If she does so, she estimates that demand will decrease by 20,000 units per month. Coowie currently sells 50,000 units per month, each of which costs $25 in variable costs. Fixed costs are $180,000 a. What is the current profit? b. What is the current break-even point in units? C. If the manager raises the price, what will profit be? d. If the manager raises the price, what will be the new break-even point in units
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