Question $19(2$ points$)$

An urban coffee shop's fixed costs are $$24,000$ a year. The shop estimates that its variable costs are $$0\mathrm{.}25$ per unit, or cup of coffee. How many units does the urban coffee shop have to sell to break even if it charges $$3\mathrm{.}25$ per cup of coffee?

$8,000$ units

$7,800$ units

$6,600$ units

$8,200$ units

Question $20(2$ points$)$

Before marketers can estimate demand for their product, which step in the five$-$step process for establishing pricing policies must they complete?

Estimate costs

Set pricing strategies

Analyze the external environment

Determine pricing objectives