Initially, the contribution margin for a good is 77.30. If fixed costs are $1171 and an...
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Initially, the contribution margin for a good is 77.30. If fixed costs are $1171 and an anticipated 558 units are being sold, how much can the price of the good drop before this business should shut down in the short run (assuming costs stay the same)? Answer: Check Sally has a business making stainless steel containers. Each container costs $5.86 dollars to make and the rent for her building is $601.71/month. Her online advertising costs are $33.49/month. Her shipping costs are $4.84 dollars per container. What is her shut- down point? Answer: K KY Check Initially, the contribution margin for a good is 77.30. If fixed costs are $1171 and an anticipated 558 units are being sold, how much can the price of the good drop before this business should shut down in the short run (assuming costs stay the same)? Answer: Check Sally has a business making stainless steel containers. Each container costs $5.86 dollars to make and the rent for her building is $601.71/month. Her online advertising costs are $33.49/month. Her shipping costs are $4.84 dollars per container. What is her shut- down point? Answer: K KY Check
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I n order to calculate the price of the good that should shut down the business in the short run ... View the full answer
Related Book For
Cost Management Measuring Monitoring and Motivating Performance
ISBN: 978-0470769423
2nd edition
Authors: Leslie G. Eldenburg, Susan K. Wolcott
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