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| Topic: |
Business
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| Number of pages / Number of words: |
3 / 689 |
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However, prior to making such a decision, Maria must analyze both the contribution margin and the breakeven point of the company. If Maria decided to invest in the peanut butter company, then she would need to determine whether or not the company should make the lemon creme cookies or continue making the peanut butter cookies...
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However, Maria noticed that the contribution margin of the peanut butter cookies would produce a loss for the company due to the negative contribution margin of the peanut butter cookies. Therefore, it would be ideal for the company to make lemon creme cookies because they would make the plant more profitable...
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