s digital cameras for drones. Their basic digital camera uses $80 im the camera further to enhance its functionality, it will require an a the camera is $160. The marketing manager is positive that they ra begin to improve operational earnings? ged s
s digital cameras for drones. Their basic digital camera uses $80 im the camera further to enhance its functionality, it will require an a the camera is $160. The marketing manager is positive that they ra begin to improve operational earnings? ged s
Chapter1: Financial Statements And Business Decisions
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Syntech makes digital cameras for drones. Their basic digital camera uses $80 in variable costs and requires $1,600 per month in fixed costs. Syntech sells 100 cameras per month.
If they process the camera further to enhance its functionality, it will require an additional $45 per unit of variable costs, plus an increase in fixed costs of $800 per month. The
current price of the camera is $160. The marketing manager is positive that they can sell more and charge a higher price for the improved version. At what price level would the
upgraded camera begin to improve operational earnings?
Price to be charged $
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