Disney partnered with Allure Bridals to produce a line of princess wedding gowns. Their lowest- selling design is a light pink gown covered in crystals. Disney and Allure are considering lowering the selling price of the gown to stimulate demand. However, before lowering the price, they must evaluate the total costs associated with the gown. • Fabric and materials - $62/gown Labor to construct the gown - $40/gown • Equipment cost for these gowns (steamer and sewing machines) - $3,000 . Disney and Allure anticipate selling 500 gowns after lowering the selling price. Assuming their projection is accurate, what is the total average cost they will incur per gown?
