Ellis Television Makes and Sells Portable Televisions

question 104

Multiple Choice

Ellis Television makes and sells portable televisions. Each television regularly sells for $210. The following cost data per television is based on a full capacity of 10,000 televisions produced each period. A special order has been received by Ellis for a sale of 2,000 televisions to an overseas customer. The only selling costs that would be incurred on this order would be $6 per television for shipping. Ellis is now selling 6,000 televisions through regular channels each period. What should be the minimum selling price per television in negotiating a price for this special order?

• A)$174
• B)$168
• C)$210
• D)$180

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Definitions:

French unions

Labor unions in France, known for their significant role in national labor policies and practices, and renowned for a high level of activism and participation in protests and strikes.

Political pressure

The exertion of influence by individuals, groups, or organizations on political decision-makers to achieve a desired outcome.

Favorable labor policies

Laws or regulations that provide advantages or benefits to labor, such as protection of workers' rights, enhancement of working conditions, and promotion of fair wages and benefits.

Communist and socialist unions

Labor organizations that operate based on communist or socialist principles, advocating for the collective ownership of the means of production and equal distribution of wealth.