The publisher has an estimate of demand of 5000 books at


Cost structure for an independent comic book publisher is as follows:

    Fixed cost = 75,000

    Variable cost = 6.00 per book

    Selling price = 13.00 per book

Compute the following:

How many books have to be sold to make a profit of 2000 dollars?

The publisher has an estimate of demand of 5000 books. At what selling price would the publisher break even?

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