Business, 16.06.2021 20:40 madisonsolis05

EagleEye Company, a manufacturer of digital cameras, is considering entry into the digital binocular market. EagleEye Company currently does not produce binoculars of any style, so this venture would require a careful analysis of relevant manufacturing costs to correctly assess its ability to compete. The market price for this binocular style is well established at $136 per unit. EagleEye has enough square footage in its plant to accommodate the new production line, although several pieces of new equipment would be required; their estimated cost is $4,800,000. EagleEye requires a minimum ROl of 15% on any product line investment and estimates that if it enters this market with its digital binocular product at the prevalling market price, It is confident of its ability to sell 22,000 units each year. Required:
Identify the costs that EagleEye Company would consider for decision of entering the digital binocular market

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EagleEye Company, a manufacturer of digital cameras, is considering entry into the digital binocular...

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