Business, 06.11.2019 22:31 zeesharpe05

Horatio alger has just become product manager for brand x. brand x is a consumer product with a retail price of $1.00. retail margins on the product are 33%, while wholesalers take a 12% margin. brand x and its direct competitors sell a total of 20 million units annually; brand x has 24% of this market. variable manufacturing costs for brand x are $0.09 per unit. fixed manufacturing costs are $900,000. the advertising budget for brand x is $500,000. the brand x product manager's salary and expenses total $35,000. salespeople are paid entirely by a 10% commission. shipping costs, breakage, insurance, and so forth are $0.02 per unit. 1. what is the unit contribution for brand x?

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