Describe what you are selling (1 item only):What is the price you will sell at to sustomer:How will you explain to potential customers WHY they should buy your product?If your total costs to run the company is $5,000 per month, how many do you have to sell each monthto cover your costs? Show your calculation!Do you think this is a realistic number to achieve each month? Explain your answer.In case sales go slower than expected, come up with a volume discount offer for customers anddescribe how it will work in the box below:(for example if you buy 5 items instead of 1, you will give customer a 10% discount).

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Business

Management

What is the price you will sell at to customer:

Understanding Business

12th Edition

ISBN:9781259929434

Author:William Nickels

Publisher:William Nickels

Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment

Section: Chapter Questions

Problem 1CE

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Concept explainers

Financial decisions

Financial decisions are important choices that individuals and businesses make about how to use their money. Financial decisions can impact a person or company's short-term and long-term financial stability. Decisions like whether to save, invest, or spend money, whether to take on debt or what kind of insurance to purchase, are some common financial decisions. Decisions on how to manage risks, such as the risk of losing money if investments do not perform as expected or the risk of not having enough money saved for retirement, are also a part of financial decision-making.

Question

Describe what you are selling (1 item only):
What is the price you will sell at to sustomer:
How will you explain to potential customers WHY they should buy your product?
If your total costs to run the company is $5,000 per month, how many do you have to sell each month
to cover your costs? Show your calculation!
Do you think this is a realistic number to achieve each month? Explain your answer.
In case sales go slower than expected, come up with a volume discount offer for customers and
describe how it will work in the box below:
(for example if you buy 5 items instead of 1, you will give customer a 10% discount).

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