Indifferent between current mode of operation and new option

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Reference no: EM132207565

For a table manufacturing company, selling price for a table is $161.00 per Unit, Variable cost is $25.00 per Unit, rent is $3,531.00 per month and insurance is $285.00 per month. Company wants to expand its business and improve the table quality, it wants to increase the selling price for a table to $290.00 per Unit, Variable cost to $57.00 per Unit, bigger area will have rent $5,704.00 per month and insurance is $389.00 per month At what point will the company be indifferent between the current mode of operation and the new option?

Reference no: EM132207565

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