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X Company is considering a modification to one of its main products next year that would make it more attractive to customers. As a result,
X Company is considering a modification to one of its main products next year that would make it more attractive to customers. As a result, X Company could increase the selling price by $2.54. However, fixed costs would increase to $16,690. Financial information for the product for this year is as follows:
Selling price | $10.52 | ||
Variable costs | $4.32 | ||
Fixed costs | $11,740 |
At what unit sales level would X Company be indifferent between modifying the product and not modifying it?
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