With the cost per unit of $250, the company decided to set a unit price at $400. From the excel file analyzing this company, with the cost of $250 per unit, the best price that optimist the company’s profit is $530 per unit since it increases from $9,540 to $10,409.

The optimal price depends on the unit cost of producing a set of clubs. As a unit cost decreases at the unit price of $530, the profit increases. At the unit price of $530, that is the company’s optimal price, as a unit cost decreases from $250 to $200, and $150, the profit increases from $10,409 to $12,268, and $4,127.

 The model is not really an accurate representative of reality since the circumstances affecting demand and a unit cost might change. For example, advertising, a price of competitors, and a buying power might affect the demand.