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Determine the annual profit

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Question - A company dedicated to manufacturing industrial bearings is reviewing its operating costs. The result is that the variable cost for the bearings reaches $ 5,500 per unit, the monthly fixed costs are $ 1,000,000. On the other hand, the current sales volume is 4,000 units per year, at a price of $ 15,500 per unit. Determine the annual profit?

Reference no: EM133042540

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