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Business, 28.02.2020 22:25 DIVAEYES

Jonathan is considering opening a shop for online baseball memorabilia. He has two options. He can build the web site himself and only pay for hosting. This would cost him $2,000/year. The average item for sale is $4.02. Average costs associated with each sale are $2.98. His second option is to use an existing e-commerce service. This incurs an additional monthly cost of $15/month. The site takes a cut of his sales of $0.29/item, so he is planning on also increasing his prices by $0.50/item. The remaining costs stay the same. What is the annual fixed cost for the e-commerce site option?

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