Question: Coca cola is thinking about introducing a new green smartcups. Projected relevant fixed costs for the project include $777,000 for plant and equipment, $138,000 for
Coca cola is thinking about introducing a new "green" smartcups. Projected relevant fixed costs for the project include $777,000 for plant and equipment, $138,000 for regulatory and patents, and $168,000 for supervision. Variable costs per unit are $5.71 for raw materials, $4.18 for labor, and $0.90 for packaging. Coca cola expects to sell the new "green" smart plates for $20.77 each. Corporate policy requires that the plan should project $1.4 million in profit, before the venture can go forward. Find BREAKEVEN SALES IN DOLLARS WHILE MEETING the $1.4 million profit target for the "green" smart plate venture. (Rounding: whole dollar.)
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