You have conducted some market research for style and size of products you want to...

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Accounting

You have conducted some market research for style and size of products you want to use to launch your business. The market research has indicated the following sales price ranges will be optimal for your area depending on style of products you choose to sell:

  • Collars
    • With pricing at $20 per collar, you can expect to sell 30 collars per day.
    • With pricing at $24 per collar, you can expect to sell 25 collars per day.
    • With pricing at $28 per collar, you can expect to sell 20 collars per day

  • Leashes
    • With pricing at $22 per leash, you can expect to sell 28 leashes per day.
    • With pricing at $26 per leash, you can expect to sell 23 leashes per day.
    • With pricing at $30 per leash, you can expect to sell 18 leashes per day.

  • Harnesses
    • With pricing at $25 per harness, you can expect to sell 25 harnesses per day.
    • With pricing at $30 per harness, you can expect to sell 22 harnesses per day.
    • With pricing at $35 per harness, you can expect to sell 20 harnesses per day.

Additionally, you will need to compare your break-even points for the following target profits for each area of your business to determine your prices:

  • Collars
    • Break-even
    • $300 target profit each month
    • $500 target profit each month

  • Leashes
    • Break-even
    • $400 target profit each month
    • $600 target profit each month

  • Harnesses
    • Break-even
    • $500 target profit each month
    • $650 target profit each month
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AutoSave On . ACC 202 Project Workbook . Saved v Search (Alt+Q) X File Home Insert Page Layout Formulas Data Review View Help Comments Share LO Calibri 10 A ab Wrap Text Custom AY O Paste Insert Delete Format BIU Merge & Center $ ~ % " Conditional Format as Cell Sort & Find & Analyze = Formatting Table Styles Filter * Select v Data Clipboard Font Alignment F Number Styles Cells Editing Analysis E9 X V 0 A C D E F G H K L M N O P Milestone Two - Break-Even Analysis COLLARS LEASHES HARNESSES Sales Price S 20.00 5 22.00 S 25.00 Fixed Costs $ 9 $ S 10 11 Contribution Margin S 10.90 S 9.90 10.40 12 13 Break-Even Units (round up) 14 16 17 Target Profit S 300.00 S 400.00 500.00 18 19 Break-Even Units (round up) 20 22 23 Target Profit S 500.00 S 600.00 S 650.00 24 25 Break-Even Units (round up) 26 28 29 Cost Classification Variable and Fixed Costs Contribution Margin Analysis Break-Even Analysis COGS Income Statement Variances + Ready Accessibility: Good to go + 100% 3:25 PM Type here to search O a W 199. 84.F 01 $7 ENG 11/5/2022

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