Delaney Corporation manufactures faucets. The variable costs of production are $30 per faucet. Fixed costs of production

Question:

Delaney manufactures faucets. The variable costs of production are $30 per faucet. Fixed costs of production are $900,000. Delaney sells the faucets for a price of $75 per unit.
Required
a. How many faucets must Delaney make and sell to break even?
b. How many faucets must Delaney make and sell to earn a $270,000 profit?
c. The marketing manager believes that sales would increase dramatically if the price were reduced to $66 per unit. How many faucets must Delaney make and sell to earn a $270,000 profit, assuming the sales price is set at $66 per unit?
Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...