Question

ATCE Learning Center would like a possible net profit of $650,000 on its new resource manual it sells to schools. The fixed costs for producing the manual are $780,000 and the variable cost per package is $19.85. If the estimated unit sales are 1,250,000 units, what selling price per unit should ATCE try?

Answer 1

19.54
31.29
20.99
44.50

Answer 2

if the price is p, you want

1250000p = 780000 + 1250000*19.85 + 650000

Answer 3

31.29

Answer 4

The answer is 20.99, not 31.29