Quality bakery is considering three alternative prices for, Accounting Basics

Quality bakery is considering three alternative prices for

Problem

Quality Bakery is considering three alternative prices for home made apple pies. Annual fixed costs are $100,000 and variable costs are $2.50 per pie. What price will generate the greatest profit?

Price Quantity Demanded
$ 10.99 27,000
$ 9.50 36,000
$ 7.75 57,000

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Accounting Basics: Quality bakery is considering three alternative prices for

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