Let's assume that Phil Young does indeed develop and successfully market the Pedal Pusher product. Phil's venture

will purchase materials for making the product from others, assemble the products at the Pedal Pusher venture's

facilities, and hire product sales representatives to sell the Pedal Pushers through local retail and discount stores

that sell children's bicycles. The costs of plastic pedals and extensions; bolts, washers, and nuts; reflective material; and a "micro-chip" to provide the "music" when the bicycle is pedaled are expected to be $2.33 per pair of Pedal Pushers. Assembly costs are projected at $1.50 per pair. Shipping and delivery costs are estimated at $0.20 per pair or set and Phil Young will have to pay commissions of $0.30 per pair of pedals sold to the sales

representatives.

A)What will it cost to produce and sell a pair of Pedal Pushers?

B)What price will Phil Young have to charge for a pair of Pedal Pushers if he wants a "markup" of 50 percent on each

sale?(Round up to two decimals)

C)Now, what would the retailers have to ultimately sell a pair of Pedal Pushers for if they, in turn, desired a mark-up

before their expenses of 40 percent?

D)Now that Pedal Pushers is up and operating, Phil Young feels he should be paid a salary of $5,000 per month. Other

administrative expenses will be $2,500 per month. How many units (pairs) of Pedal Pushers will the venture have to sell

to cover all operating and administrative costs during the first year of operation?

(Round up the number of units as you cannot sell partial units (or part of a pedal pusher)