Boys and Girls of Canada is a not-for-profit organization that raises funds each

Question

Boys and Girls of Canada is a not-for-profit organization that raises funds each year by selling popcorn door-to-door. It offers to pay Zippy $20 per crate for a special-order batch of 5,000 crates. The special-order popcorn would include a unique label with information about the Boys and Girls of Canada. The additional cost of the label is estimated at $1.00 per crate. In addition, the variable overhead for these special-order crates would decrease by $0.50 because there would be no distribution costs.

Explanation / Answer

revenue generated from selling the pop-corn =20*5,000 =$100,000 now the total cost of label =1.0*5,000

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