REQUIREMENT 1:
To CALCULATE:
We need to calculate the profit of See Breeze Skin Cleanser after considering the Management decision on increasing in Selling Price and Decrease in volume.
REQUIREMENT 2:
To CALCULATE:
We need to calculate the Number of units to be sold to earn the earlier profit of $40,000 when there is an increase in price to $24.00 per unit sales.
Requirement 3:
To CALCULATE:
We need to calculate the % decrease in Unit sales that can be absorbed to provide the same profit of $40,000.
REQUIREMENT 4.A
To CALCULATE:
We need to calculate the Optimal selling Price using the Optimal Pricing Model as provided in the link given in the question.
REQUIREMENT 4.B
To CALCULATE:
We need to calculate the profit that company earned on such Optimal Price.
REQUIREMENT 4.C
To CALCULATE:
We need to calculate the Additional Profit that company has earned in Optimal Selling price as compared to selling price of $24.00.
REQUIREMENT 5.A
To CALCULATE:
We need to calculate the Optimal selling Price and Optimal Profit using the Optimal Pricing Model as provided in the link given in the question.
REQUIREMENT 5.B
To CALCULATE:
We need to find out which optimal price is higher as calculated in 4.a or 5.a and what the reason behind such is.
REQUIREMENT 5.C
To CALCULATE:
We need to recommend that if the unit sales decrease to 35%, would we retain the price at $20 or to go with the optimal pricing.

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Chapter 13 Solutions
MANAGERIAL ACCOUNTING LL W/ CONNECT
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