Last year Minden Company introduced a new product and sold 14-500 unit (1).docx

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Last year Minden Company introduced a new product and sold 14,500 units of it ot a price of $78 per unit. The procket's variable expenses are $48 per unit and its fixed expenses are $520 , 200 per year. Required: 1. What was this pioduct's net operoting income (loss) Iast year? 2. What is the products breok-even point in unit sales and dollor sales? 3. Assume the compary has conducted a macketing study that estimates it can increase annual sales of this product by 5,000 units for each $2 reducton in its selikig price. If the company will only consider price reductions in increments of $2 ( 0.9 + $76 , 574 , atc), what is the maximum annual profit that it can earn on this product? Whot sales volume and selling price per unit generate the moximum Brofit? 4. What would be the break-even point in unit sales and in doliat sales using the selling price that you determined in requirement 3 ? Complete this question by entering your answers in the tabs below. Aniume the company has conducted a marketing study that eitimates it can incrose annual sales of this product by 5,000 unies for each 52 recuction in its selling price. If the company wil only consider price reductions in increments or $2 (e. 9.00 .

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