Question

You've decided to sell sweatshirts for the upcoming game. You project that at a price of...

You've decided to sell sweatshirts for the upcoming game. You project that at a price of ​$35.80 per​ sweatshirt, you will be able to sell 100 shirts. In order to sell 340 sweatshirts, you would need to lower the price to ​$18.52 per sweatshirt. In order to produce the​ sweatshirts, it costs you ​$2.27 per sweatshirt on top of fixed costs of ​$350. What price should you charge in order to earn a profit of ​$1900​? Assume linear demand.

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Sweat Shirts Amount $
Sell price         35.80
Less: Variable cost per unit           2.27
Contribution per unit         33.53
Fixed costs       350.00
Add: Desired profit 1,900.00
Desired income 2,250.00
Number of shirts to be sold         68.00
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