Business, 12.06.2020 22:57, Arealbot

he world-famous discounter, Fernwood Booksellers, specializes in selling paperbacks for $7 each. The variable cost per book is $5. At current annual sales of 200,000 books, the publisher is just breaking even. It is estimated that if the authors' royalties are reduced, the variable cost per book will drop by $1. Assume authors' royalties are reduced and sales remain constant; how much more money can the publisher put into advertising (a fixed cost) and still break even? a. $600,000 b. $200,000 c. $333,333 d. $466,667 e. None of these choices are correct

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he world-famous discounter, Fernwood Booksellers, specializes in selling paperbacks for $7 each. The...