You run a manufacturing facility that makes roller skates. Fixed monthly cost is $50,000 in mortgage, $3000
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You run a manufacturing facility that makes roller skates. Fixed monthly cost is $50,000 in mortgage, $3000 per employee on average in salaries ( 40 employees) and $20,000 in other expenses. The cost of raw materials is $2 per skate, andother costs per skate average to about $1. You sell the skates for $19.95 each.
Express Total Revenue, Fixed Cost, Variable Cost, Total Cost and Profit in terms of X.
How do you find the Total Fixed Cost?
Calculate Breakeven point.
If the demand for skates depands on the price as follows: Demand = 300 - 2*price, what rpice would you charge for a kate to maximize profit?
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