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Mercer University Operations And Supply Chain Management Assignment Help - Paddle Away, Inc.,


Question - Paddle Away, Inc., makes one model of wooden canoe. Partial information for it follows.


Number of canoes produced and sold------490
Total costs
Variable costs ------$73,500
Fixed costs---------159,740

Total costs------------$233,240

Cost per unit
Variable cost per unit------------$150.00
Fixed cost per unit---------------$326.00

Total cost per unit----------------$476.00


1: Suppose that Paddle Away raises its selling price to $710 per canoe. Calculate its new break-even
point in units and in sales dollars. (Round your break-even units answer to the next whole number.
Round your sales answer to the nearest whole number. Omit the "$" sign in your response.)

New break-even units :______ canoes
Break-even sales: $_ ...Read More

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