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You sent out a test mailing which generates 10,000 orders. The promotion cost is $55,000. The selling price of the Whatchamacallit was $50 with a
You sent out a test mailing which generates 10,000 orders. The promotion cost is $55,000. The selling price of the Whatchamacallit was $50 with a variable cost of $22.50, thus giving a contribution or unit margin of $27.50. You were given an advertising allowable of $6 per order. Calculate the following:
What is the Break Even for the Whatchamacallit?
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