Question
A bakery currently sells chocolate chip cookies at a price of $16 per dozen. The marginal cost per dozen is $8. The cookies are becoming
A bakery currently sells chocolate chip cookies at a price of $16 per dozen. The marginal cost per dozen is $8. The cookies are becoming more popular with customers, and so the bakery owner is considering raising the price to $20/dozen. What percentage of customers must be re-trained to ensure that the price increase is profitable?
a. 28.0%
b. 33.3%
c. 33.0%
d. 72.0%
A bakery currently sells chocolate chip cookies at a price of $16 per dozen. The marginal cost per dozen is $8. The cookies are becoming more popular with customers, and so the bakery owner is considering raising the price to $20/dozen. What percentage of customers must be re-trained to ensure that the price increase is profitable?
a. 28.0%
b. 33.3%
c. 33.0%
d. 72.0%
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Statistical Techniques In Business And Economics
Authors: Douglas Lind, William Marchal
16th Edition
78020522, 978-0078020520
