A shoe company manufactures and sells a pair of shoes with the folowing cost and revenue data:Selling price Per Unit (AED) 75Variable cost Per Unit (AED) 20Total fixed expenses per month are as follows:Expenses typesAdvertisingAED388,348Rent90,000Heating80,000a. How many units would the company have to sell to have a profit of AED 150,000?

Total cost is the cost that includes fixed cost as well as the variable cost of the goods and…

Answered: a How many units would the company have…

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a How many units would the company have to sell to have a profit of AED 150,000?

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

A shoe company manufactures and sells a pair of shoes with the folowing cost and revenue data:
Selling price Per Unit (AED) 75
Variable cost Per Unit (AED) 20
Total fixed expenses per month are as follows:
Expenses types
Advertising
AED
388,348
Rent
90,000
Heating
80,000
a. How many units would the company have to sell to have a profit of AED 150,000?

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