Question

Deborah has just recorded a CD, which she intends to sell on her own. She needs to figure out how to price the disc. The graph below lists her expenses. Study the information and answer the questions that follow. (Note: Deborah’s marketing costs came to $900.)

Questions 1-6 of 6 | Page 1 of 1
Question 1 (10 points)
What is Deborah’s break-even point ? (the point at which there is no profit and where expenses and revenue are equal) (this will require you adding up the cost of all four components of making a CD) Remember to use proper accounting format when entering $.



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Question 2 (10 points)
By buying in bulk, she managed to get 6,000 CD’s manufactured for $9,000. What was the cost per unit for manufacturing ?


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Question 3 (10 points)
What is the cost per unit including all expenses ?

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Question 4 (10 points)
Deborah wants to break even after selling 1,200 CD’s. What will she have to charge per CD to accomplish this ?


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Question 5 (10 points)
How many CD’s will she need to sell at the price calculated in question #4 to earn a 20 percent profit ?

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Question 6 (10 points)
What will her profit be if she sells all of her CD’s at the price calculated in question #4 and the quanitity calculated in question #5 ?

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Answer 1

Answer:Deborah has just recorded a CD, which she intends to sell on her own. She needs to figure out how to price the disc. The graph below lists her expenses. Study the information and answer the questions that follow. (Note: Deborah’s marketing costs came to $900.) No

Step-by-step explanation:

Deborah has just recorded a CD, which she intends to sell on her own. She needs to figure out how to price the disc. The graph below lists her expenses. Study the information and answer the questions that follow. (Note: Deborah’s marketing costs came to $900.) asdasd