Question: X Your answer is incorrect. Try again. The Tamarisk packages and distributes three grades of animal feed. The material cost per tonne and estimated annual

X Your answer is incorrect. Try again. The Tamarisk packages and distributes three grades of animal feed. The material cost per tonne and estimated annual sales for each of the products are listed here: Super Premium 1; 9.00 2,200 tonnes Premium 7.25 2,700 tonnes Economy 6.00 4,700 tonnes The fixed cost of operating the machinery used to package all three products is $10,100 per year. In the past, prices have been set by allocating the xed operating cost to products on the basis of estimated sales in tonnes. The resulting full costs (material costs plus allocated fixed operating cost) are then marked up 0%. The Tamarisk has received an offer from a foreign firm for 1,000 tonnes of the premiumigrade feed. Sales to the foreign rm would not affect domestic sales but would require a $1,800 increase in xed production costs. (c) Using only quantitative information, what is the minimum price that the Tamansk's managers should be willing to accept from the foreign rm? Price for order
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