flash city inc manufactures small flash drives and is considering raising the price by 75 cents a unit for the coming year. With a 75 -cent price increase demand is expected to fall 7000 units. Demand 76,000 units 69,000 units Selling price $8.75 $9.50 Incremental cost per unit $4.80 $4.80 Would you recommend the 75 - cent price increase?
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flash city inc manufactures small flash drives and is considering raising the price by 75 cents a unit for the coming year. With a 75 -cent price increase demand is expected to fall 7000 units.
Would you recommend the 75 - cent price increase?
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- Reset cells to their initial values. Sweet Pleasures, Inc., is considering undertaking a 1,200 per month advertising campaign to promote Sweet Pleasures chocolate as exclusive and extraordinarily tasty. What price (dollars and cents) would Sweet Pleasures have to charge for each box to be able to pay for the campaign, pay back the 10,000 note, and have 15,000 left over at the end of April? (Try different prices in cell C9.) Sales price ___Syntech makes digital cameras for drones. Their basic digital camera uses $80 in variable costs and requires $1,500 per month in fixed costs. Syntech sells 100 cameras per month. If they process the camera further to enhance its functionality, it will require an additional $45 per unit of variable costs, plus an increase in fixed costs of $1,000 per month. The current price of the camera is $160. The marketing manager is positive that they can sell more and charge a higher price for the improved version. At what price level would the upgraded camera begin to improve operational earnings?Mortech makes digital cameras for drones. Their basic digital camera uses $80 in variable costs and requires $1,500 per month in fixed costs. Mortech sells 200 cameras per month. If they process the camera further to enhance its functionality, it will require an additional $45 per unit of variable costs, plus an increase in fixed costs of $1,000 per month. The current price of the camera is $200. The marketing manager is positive that they can sell more and charge a higher price for the improved version. At what price level would the upgraded camera begin to improve operational earnings?
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