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AEM1200-0202Q - Class W 2/2 Question Set AEM1200 Spring...

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Class W 2/2 Question Set AEM1200 Spring 2011 Pedro David Pérez 1. Helen is considering adding a rack of greeting cards to her product offerings at Litton Books Unlimited. Her fixed costs associated with adding the greeting cards would be $300. Variable costs per card are $1 each. The greeting cards will sell for $2 each. Helen's break-even point would occur at ________ cards sold. a. 100 b. 125 c. 150 d. 300 e. 600 2. As firms develop their marketing mix, it is important to remember that: When putting together a business plan, entrepreneurs must present a short term break-even analysis of their idea. Match the following revenue and costs aspects of a potential startup with their break-even analysis counterparts 3. Cost of goods sold 4. Revenue model 5. Startup investment 6. Target segment
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