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How do you think business owners determine how much of each of their products to make?

User Auro
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2 Answers

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Answer: First - Add your costs to your mark-up. (Costs + Mark-up Amount = Baseline Price), Next - If you want to find the price percentage, (Costs x Mark-up Percentage = Mark-up Amount) (Mark-up Amount + Costs = Baseline Price) Next - Multiply your baseline price by your overhead percentage and figure out what is the amount that you must add to the baseline prices so that the overhead expenses can be covered. (Price x Overhead Percentage = Overhead Contribution)Now you must finally add your overhead contribution to your baseline price: (Overhead Contribution + Baseline Price = Final Price)

User Limfinity
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6 votes
They determine how much to make by how much demand there is for said product from the consumer.
User Jaredonline
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