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How much should the ?rm charge per calculator

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Samuelson. lnc.. hasjust purchased a $645,000 machine to produce calculators. The machine will be fullyr depreciated by the straight-line method over its economic life of eight years and will produce 40.000 calculators each year. The variable production cost per calculator is $10, and total fixed costs are $890,000 per year. The corporate tax rate for the companyr is 25 percent. For the firm to break even in terms of accounting pro?t, how much should the ?rm charge per calculator?

Reference no: EM133062730

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