Martin Company incurred the following costs for 70,000 units:
Variable costs $420,000
Fixed costs 392,000
Martin has received a special order from a foreign company for 3,000 units. There is sufficient capacity to fill the order without jeopardizing regular sales. Filling the order will require spending an additional $6,300 for shipping.
If Martin wants to earn $6,000 on the order, what should the unit price be?
a) $10.10
b) $8.00
c) $15.70
d) $9.70
a) $10.10
Business
You might also like to view...
A share development index of 40 means that the business or product has only obtained 40 percent of its share potential
Indicate whether the statement is true or false
Business
When actively listening, a coach or mentor should ask questions to try to ___________________ the speaker
a. confront b. understand c. empower d. discipline
Business