Question

You calculate that the fixed costs for the Saco Atlantic Truffle are $25,000 per month and...

You calculate that the fixed costs for the Saco Atlantic Truffle are $25,000 per month and each box costs $25 for the labor, candy, packaging and shipping. Will profits go up or down as a result of the price cut? By How much? (Profits are revenue minus all costs.) I need a formula for Excel to enter all numbers in one cell please help format the following:

(70000 * 51) (70000 *25) - 25000 = 1795000 (70000 * 46) (70000 * 25) - 25000 = 1550000 1795000 - 1550000 = 245000 245000 * 6 = 1470000

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Answer #1

The formula to be written in the excel cell is as below to get the desired answer:

=(((70000*51)-(70000*25)-25000)-((75000*46)-(75000*25)-25000))*6

The answer will be 1470000.

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