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What would selling price be in the given year

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Question: During 2020, Thor Lab supplied hospitals with Covid 19 diagnostic kits for 120 per kit. At a volume of 80,000 kits, Thor's fixed costs is &1,000,000, with an opertimg income of $200,000. Due to an adverse legal decision, Thor's liabiloty insurance in 2021 will increase by an additional $1,200,000. Assuming the volume and pther costs are unchabged, what would selling price be in 2021 if Thor desires to earn the same operating inciome of $200,000?

Reference no: EM132745156

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