Problem
Sid's skins makes a variety of covers for electronic organizers and portable music players. Company's designers have discovered a market for a new clear covering with college logos for a popular music player. Market research indicates that a cover like this would sell well in the market priced at $19.50 Sid's desires an operating pronto 25 percent of costs.
Required
What is the highest acceptable manufacturing cost for which Sid's would be willing to produce the cover?