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Altoids Inc manufactures peppermints. The company has recently been involved in

ID: 2459382 • Letter: A

Question

Altoids Inc manufactures peppermints. The company has recently been involved in developing various lines of peppermints. One line called curiously strong mints has a very large potential market. Because of competition Altoids cannot charge more than $1.50 per packaged mint. Altoids believes it can sell 1,000,000 mint packages at $1.50. Altoid requires an investment of $800,000 to manufacture, and the company wants an ROI of 50%. What is the return of investment per unit?

50%

80 cents

40 cents

Cannot determine

A.

50%

B.

80 cents

C.

40 cents

D.

Cannot determine

Explanation / Answer

It Should be 50% OF PER UNIT

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