Product Pricing: Single Product Assume that you plan to open a soft ice cream franchise in a resort community during the summer months. Fixed operating costs for the three- month period are projected to be $5,650. Variable costs per serving include the cost of the ice cream and cone, $0.50, and a franchise fee payable to Austrian Ice, AG, $0.15. A market analysis prepared by the Austrian Ice indicates that the summer sales in the resort community should total 24,000.

Required: Determine the price should charge for each ice cream cone to achieve a $20,000 profit for the three-month period.