Manufactures unpainted furniture

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Mesa Verde manufactures unpainted furniture for the do-it-yourself (DIY) market. It currently sells a table for $75. Production costs are $39 variable and $10 fixed. Mesa Verde is considering staining and sealing the table to sell it for $99. Variable costs to fi nish each table are expected to be $18, and fi xed costs are expected to be $3.Prepare an analysis showing whether Mesa Verde should sell unpainted or fi nished tables.

Reference no: EM131774929

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