Question: Upon reflection, Fred decides not to increase Yabba Dabba Doo's advertising budget and keeps it at $1,000,000. Instead, he listens to his neighbor Barney and

 Upon reflection, Fred decides not to increase Yabba Dabba Doo's advertising

Upon reflection, Fred decides not to increase Yabba Dabba Doo's advertising budget and keeps it at $1,000,000. Instead, he listens to his neighbor Barney and decides to give retailers an incentive to promote Yabba by raising their margins from 33% to 40%. The margin increase would be accomplished by lowering the price of the product to retailers. Wholesaler margins would remain at 12% (a) If retailer margins are raised to 40% next year, how many units will Yabba have to sell to break even? (b) How many units will Yabba have to sell next year in order for it to achieve the same profit that it did this year? (c) What will Yabba's market share have to be next year for its profit to be the same as this year? (d) What will Yabba's market share have to be for it to generate a profit of $700,000

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