Free Payroll Software

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We are a group of student doing a business plan about a software company. However we are not sure how to determine the price for our product. Here is the basic calculation about the fixed cost and variable cost of our company

Fixed Costs
Salaries (directors’ remuneration) $8,000
Supplies (printing &stationery) $1,200
Repairs & maintenance(upkeep of office) $-
Advertising $20,000
Car, delivery and travel $2,400
Accounting and legal& financial charges $3,800
Rent $12,000
R&D Developments $5,000
Utilities $1,000
Insurance $1,440
Taxes (Real estate, etc.) $-
Interest $-
Depreciation $3,900
Medical Fee $-
Miscellaneous expenses $-
Principal portion of debt payment $17,645
Owner’s draw $-

Total Fixed Costs $78,385

Variable Costs
Cost of Goods Sold $45,150
Inventory
Raw Materials
Direct Labor (Includes Payroll Taxes) $24,000

Total Variable Cost : $69,150

Break event Sales level =76749

We plan to sell the product for $5000/unit. But our teacher query why and how we determine the price. Anybody please answer me how to determine the selling price please. Thank you.

Hi everyone,
I would appreciate any suggestions as to the most effective ways to market a payroll service to small businesses.

Thank you,