How many magazines must be sold to at least break even

Reference no: EM131439129

Question: A gasoline mini-mart orders 25 copies of a monthly magazine. Depending on the cover story, demand for the magazine varies. The gasoline mini-mart purchases the magazines for $1.50 and sells them for $4.00. Any magazines left over at the end of the month are donated to hospitals and other health-care facilities. Modify the newsvendor example spreadsheet to model this situation. Investigate the financial implications of this policy if the demand is expected to vary between 10 and 30 copies each month. How many must be sold to at least break even?

Reference no: EM131439129

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