Sunday 9 August 2015

Entrepernuership

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Consider the information below as part of the cost’s structure about any Company. This Company sells a car’s component. The component’s price is $12.80. The retail price is $65.50. It costs the company as follows: $3.85 to manufacture one car’s component, $1.350 for shipping and handling, $1.70 to package it, and $0.89 of variable costs per component. a. Calculate the contribution margin. b. The monthly fixed costs of the Company is $35.500. How many components would the company need to sell in order to break even? c. What would be the markup percentage for the following: Manufacturer —- Retailer Retailer — Consumer
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