Business, 19.11.2019 05:31 kiaunabeachovu10i

Erosion costs. fat tire bicycle company currently sells 40 comma 000 bicycles per year. the current bike is a standard balloon-tire bike selling for $90, with a production and shipping cost of $35. the company is thinking of introducing an off-road bike with a projected selling price of $410 and a production and shipping cost of $360. the projected annual sales for the off-road bike are 12 comma 000. the company will lose sales in fat-tire bikes of 8 comma 000 units per year if it introduces the new bike, however. what is the erosion cost from the new bike? should fat tire start producing the off-road bike?

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Erosion costs. fat tire bicycle company currently sells 40 comma 000 bicycles per year. the current...

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