Answered: Laramie Company has a variable cost…

Laramie Company has a variable cost ratio of 0.30. The fixed cost is $176,400 and 21,000 units are sold at break-even. What is the price? Round your answer to the nearest cent.

Managerial Economics: A Problem Solving Approach

5th Edition

ISBN:9781337106665

Author:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Publisher:Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Chapter7: Economies Of Scale And Scope

Section: Chapter Questions

Problem 11MC

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Laramie Company has a variable cost ratio of 0.30. The fixed cost is $176,400 and 21,000 units are sold at break-even.

What is the price? Round your answer to the nearest cent.

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