Can you guys show me how to calculate this problem including the formula too? ...
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Can you guys show me how to calculate this problem including the formula too?
Points: 16 O2006 Capsim Management Simulations, Inc. Chester has negotiated a new labor contract for the next round that will affect the cost for their product Cell. Labor costs will go from $2.83 to $3.43 per unit. Assume all period and other variable costs remain the same. If Chester were to absorb the new labor costs without passing them on in the form of higher prices, how many units of product Cell would need to be sold next round to break even on the product? Select: 1 Save Answer O 1,923 O 1,409 O 1,342 O 1,482 Points: 16 O2006 Capsim Management Simulations, Inc. Chester has negotiated a new labor contract for the next round that will affect the cost for their product Cell. Labor costs will go from $2.83 to $3.43 per unit. Assume all period and other variable costs remain the same. If Chester were to absorb the new labor costs without passing them on in the form of higher prices, how many units of product Cell would need to be sold next round to break even on the product? Select: 1 Save Answer O 1,923 O 1,409 O 1,342 O 1,482
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