Ace Shoe Company sells heel replacement kits for men's shoes.It has fixed costs of $9 million and unit variable costs of $5 per pair.Ace is considering a switch from manual labor to an automated process.New equipment would cost an additional $4 million per year while lowering variable costs by $3 per shoe repair kit.How many kits would Ace have to sell at $17 per pair to make $2 million in profits in the next year with the automated process?

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The Answer of Ace Shoe Company sells heel replacement kits for men's shoes.It has fixed costs of $9 million and unit variable costs of $5 per pair.Ace is considering a switch from manual labor to an automated process.New equipment would cost an additional $4 million per year while lowering variable costs by $3 per shoe repair kit.How many kits would Ace have to sell at $17 per pair to make $2 million in profits in the next year with the automated process?

Ace Shoe Company Sells Heel Replacement Kits for Men's Shoes