Solved

Farnsworth Television Makes and Sells Portable Television Sets

Question 68

Multiple Choice

Farnsworth Television makes and sells portable television sets.Each television regularly sells for $200.The following cost data per television are based on a full capacity of 12,000 televisions produced each period:
A special order has been received by Farnsworth for a sale of 2,500 televisions to an overseas customer.The only selling costs that would be incurred on this order would be $10 per television for shipping.Farnsworth is now selling 7,200 televisions through regular distributors each period.What should be the minimum selling price per television in negotiating a price for this special order?


A) $200
B) $166
C) $178
D) $176

Correct Answer:

verifed

Verified

Unlock this answer now
Get Access to more Verified Answers free of charge

Related Questions