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Boulder Organic Teas is considering a new product introduction - the Herbal Kicker Tea. Labor costs of the new product is approximately $0.15 per box
Boulder Organic Teas is considering a new product introduction - the Herbal Kicker Tea. Labor costs of the new product is approximately $0.15 per box of tea produced. Material costs per new box of the tea are: Material Tea leaves Additional flavoring Packaging (bag, box, etc) Cost per box produced $0.02 $0.03 $0.25 Boulder Organic plans to add a dedicated production line to support the new product costing $250,000 per year. Boulder Organic's marketing department has determined the price per box of Herbal Kicker Tea should be $1.40. In order to breakeven on this product, how many boxes of tea should be made and sold
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