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For a manufacturing company, selling price for an item is $500 per unit, variable cost is $50 per unit, rent is $5000 per month and insurance is $3000 per month. company wants to expand their business, selling price for the item will increase to $800 per unit, variable cost to $80 per unit, new area will have rent $8000 per month and insurance is $5000 per month. at what point will the company be indifferent between current mode of operation and the new option?
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For a manufacturing company, selling price for an item is $500 per unit, variable cost is $50 per un...
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