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Determine the minimum annual dollar sales

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Reference no: EM131921273

An agribusiness firm is trying assess its chances for success in a new market. Market research has estimated they will sell 10,000 bags of the product when the price is $50 per bag. The average variable cost is $30 per bag. The plant needed to service this market will require an investment of $150,000. Using the information given above, determine the minimum annual dollar sales needed to make a 10 percent profit in this market. Using the information given above, determine the minimum annual dollar sales needed to make a 10 percent profit in this market.

Reference no: EM131921273

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