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What is the highest acceptable manufacturing cost

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Problem - Sid's Skins makes a variety of covers for electronic organizers and portable music players. The company's designers have discovered a market for a new clear plastic covering with college logos for a popular music player. Market research Indicates that a cover like this would sell well In the market priced at $25.50. Sid's desires an operating profit of 25 percent of costs. What is the highest acceptable manufacturing cost for which Sid's would be willing to produce the cover?

Reference no: EM132927867

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