Managers of SWEETY COMPANY, which manufactures a packaged beverage sweetener, have been trying to decide what price
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Managers of SWEETY COMPANY, which manufactures a packaged beverage sweetener, have been trying to decide what price to charge for the product next year. One manager has come up with the following analysis: Likely Results
Average Price per Case Total Case Volume PerCase Cost PerCase Gross Margin
$ $ $
$ $ $
$ $ $
It seems to me that we should go with the $ price, since the percase gross margin is highest at that price", the manager says.
REQUIRED: Determine the price that yields the highest total profit to the firm. Show Computation
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