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How much profit would be realized from this deal

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Question - A supplier approaches Lady Gaga's professional corporation, Monsters Inc., to sell a new product line of t-shirts and body suits at the next live concert along with her regular concert merchandise.

Based on the supplier's estimates, the company could sell as many as 2,500 units.

The suggested retail price for each unit is $17.50.

The purchase price for each unit is $8.00.

The amount of fixed costs allocated to that particular product line department is $9,000.

Please answer the following questions based on this information

1. The contribution margin based on the suppliers sales estimates is?

2. The Contribution Margin ratio is?

3. The revenue break-even point in dollars is?

4. How much profit would be realized from this deal?

Reference no: EM133131136

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