What price must the divisions total costs be


Question: Texas Products Inc has a division which makes burlap bags for the citrus industry. The unit has operating fixed costs of $12,000 per month, and it must sell 42,000 bags per month at $2.50 to break even. If the variable cost per bag is $2.00, what price must the division's total costs be?

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Finance Basics: What price must the divisions total costs be
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