It's been several years since I have had to do math and I am posed with this ? and don't recall how to find the answers. There is a fixed overhead of $1 per bolt. They make a run of 10,000 bolts at a total marginal cost of $70k. They sell them all, and lose $20k. What is the price for each bolt?
Secondly, assuming the same overhead and marginal cost, selling price remain the same, how many bolts must they make to profit $20k?
Anyone know how I can figure this out? Thanks in advance