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Wilson sells bobble heads for $25 each. Annual total fixed costs to make bobble heads include following items: $550 for supplies (wood, glue, springs, paint,
Wilson sells bobble heads for $25 each. Annual total fixed costs to make bobble heads include following items:
$550 for supplies (wood, glue, springs, paint, materials, etc)
$358 for advertising costs
$800 for equipment (wood cutting machine, saw blades, etc.)
$1,200 for automobile expenses (insurance, gas, etc.) to take the bobble heads to various fairs
and baseball games
$17,000 for labor
Variable cost per bobble head includes the following:
$12 per bobble head doll (miscellaneous items)
What is the annual breakeven point (how many bobble heads does Wilson need to sell in one year)?
Step 1)
Step 2)
Step 3)
How many bobble heads does Wilson need to sell per month to breakeven?
How many bobble heads does Wilson need to sell per week to breakeven?
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