Calculate the value of the erosion

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Reference no: EM131966232

King Inc. currently sells 300 Class A batteries, 450 Class C batteries, and 200 Class B batteries each year. The firm is considering adding a Class D battery and expects that if it does it can sell 375 of them.

However, if the new battery is added, then Class A sales are expected to decline to 225 unit while the Class C sales are expected to decline to 200.

Class B sales will not change. Class A batteries sell for $1,200, Class C batteries are priced at $600, and Class B are priced at $1,700.

The new Class D battery will sell for $800. Calculate the value of the erosion. (Round to a whole value, and enter a positive value)

Reference no: EM131966232

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