After completing the Action Steps, students will better understand the impact of pricing strategies, what pricing strategies are available to marketers, and the objectives companies try to achieve through pricing.

1. Using the information provided in the case, identify the fixed and variable costs.

2. Using the amounts calculated in Step 2, calculate the breakeven point at a sales price of $15, $20, $25, and $30. Based on these answers as well as your assessment about likely monthly sales, decide on the best price for the phone cases?