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You have just been promoted to the product manager of the Hipster Hat Company line called Monkey Business. The hat is currently selling at a

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You have just been promoted to the product manager of the Hipster Hat Company line called Monkey Business. The hat is currently selling at a retail price of $30.00, The hats are sold at boutiques in in the major metropolitan area. Retail margins on the hats are 40%. It is sold through wholesalers and they make a 20% margin. Hipster Hat and its direct competitors sell a total of 300 Million hats annually. Monkey Business has 30% of the market. Variable manufacturing costs for each hat is $2.25 per unit. The fixed manufacturing costs are $950,000. The advertising budget is $10,000,000. Monkey Business sales reps get paid a commission of 9.5% on dollar sales. Shipping costs, breakage, insurance are $4.35 per unit Question 1 (Mandatory) (10 points) What is Monkey Business unit selling price to the wholesalers? Question 2 (Mandatory) (10 points) What is the per unit variable cost for Monkey Business hats? 4 Question 3 (Mandatory) (10 points) What is the unit contribution? A/ Question 4 (Mandatory) (10 points) 3 What is the contribution margin? A/ 5 Question 5 (Mandatory) (10 points) What is the unit breakeven for Monkey Business? A Question 6 (Mandatory) (10 points) What is the dollar sales breakeven for Monkey Business? Question 7 (Mandatory) (10 points) What market share does Monkey Business need to breakeven? Question 8 (Mandatory) (10 points) How many units does monkey business sell annually? Question 9 (Mandatory) (10 points) What is the Monkey Business profit at the current level of sales? A/ Question 10 (Mandatory) (10 points) How many units will Monkey Business need to sell to breakeven? A/ Question 11 (Mandatory) (10 points) How many units will it have to sell to be achieve the same level of profits? A/ Question 12 (Mandatory) (10 points) What will Monkey Business' market share have to be to achieve that level of profits A/

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