Answer b and c only

Principles Of Marketing
17th Edition
ISBN:9780134492513
Author:Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:Kotler, Philip, Armstrong, Gary (gary M.)
Chapter1: Marketing: Creating Customer Value And Engagement
Section: Chapter Questions
Problem 1.1DQ
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Answer b and c only

3. Eastman Publishing Company is considering publishing a paperback textbook on spreadsheet applications for
business. The fixed cost of manuscript preparation, textbook design, and production setup is estimated to be
P160,000. Variable production and materials costs are estimated to be P6 per book. The publisher plans to sell the
text to college and university bookstores for P46 each.
b. What profit or loss can be anticipated with a demand of 3,800 copies?
c. With a demand of 3,800 copies, what is the minimum price per copy that the publisher must charge to
break even?
Transcribed Image Text:3. Eastman Publishing Company is considering publishing a paperback textbook on spreadsheet applications for business. The fixed cost of manuscript preparation, textbook design, and production setup is estimated to be P160,000. Variable production and materials costs are estimated to be P6 per book. The publisher plans to sell the text to college and university bookstores for P46 each. b. What profit or loss can be anticipated with a demand of 3,800 copies? c. With a demand of 3,800 copies, what is the minimum price per copy that the publisher must charge to break even?
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