a price of $3.00 each,SHAPE magazine sells 1.25 million copies of its magazine targeted to young women seeking a healthier lifestyle.If the price per issue is increased to $3.25,only 1 million copies would be sold.Fixed costs are $1 million and unit variable costs are $0.50 per magazine.From the information provided here,what is SHAPE magazine's total revenue obtained at the lower price?
A) $3,750,000
B) $3,250,000
C) $3,000,000
D) $2,125,000
E) $1,750,000

Question

Quizplus · Accepted Answer

Total revenue at the lower price is calculated by multiplying the number of copies sold by the price per copy: 1.25 million copies * $3.00 = $3,750,000.

A Price of $3