Essentials Of Investments
11th Edition
ISBN: 9781260013924
Author: Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher: Mcgraw-hill Education,
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Roadside Inc's new product would sell for $35.76. Variable cost of production would be $13.48 per unit. Setting up production would entail relevant fixed costs of $260,683. The project cannot go forward unless the new product would earn a return on sales of 16%. Calculate breakeven sales in UNITS, meeting the profit target. (Rounding: tenth of a unit.)
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