Engineering Economy (17th Edition)
Engineering Economy (17th Edition)
17th Edition
ISBN: 9780134870069
Author: William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Publisher: PEARSON
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Chapter 2, Problem 10P
To determine

The amount U Country postal service charge for each item is delivered to breakeven on  Sunday deliveries.

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A mail carrier at the U.S. Postal Service works on Sunday delivering high-priority letters and packages. She can deliver 13 items per hour. The fixed hourly costs (vehicle depreciation, insurance, etc.) equal $33 and the hourly variable costs (time and a half wages, etc.) total $0.90 per item delivered. How much must the U.S. Postal Service charge for each item delivered in order to break even on Sunday deliveries? The U.S. Postal Service must charge $ for each item delivered in order to break even on Sunday deliveries. (Round to the nearest cent)
T/F  The fixed cost incur at even zero level of output.
average cost of producing 220 units
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