document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=215133>Question 215133</A>This question is from textbook <A HREF=http://www.amazon.com/exec/obidos/ASIN/9780495017028/algebrahomeworkh>finite mathematics</A><BR>\n" );
document.write( ": <I><SPAN STYLE=\"word-break: break-all;\"> The Metro Company sells its latest product at a unit price of $5. Variable costs are estimated to be 30% of the total revenue, and fixed costs amount to $7000 per month. How many units should the company sell each month in order to break even, assuming that it can sell up to 5000 units per month at the planned price? Just give the numerical answer. Do not include any words or units. </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #162559 by </B><A HREF=/tutors/aboutme.mpl?userid=stanbon><B>stanbon(75887)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=stanbon><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/images/nopicture.jpg><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=162559\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> The Metro Company sells its latest product at a unit price of $5. Variable costs are estimated to be 30% of the total revenue, and fixed costs amount to $7000 per month. How many units should the company sell each month in order to break even, assuming that it can sell up to 5000 units per month at the planned price? Just give the numerical answer. Do not include any words or units.<BR>\n" );
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document.write( "Let # of units produced be x<= 5000<BR>\n" );
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document.write( "Revenue = 5x dollars<BR>\n" );
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document.write( "Cost = 7000 +0.30(5x)<BR>\n" );
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document.write( "Equation if cost = revenue<BR>\n" );
document.write( "5x = 7000 + 1.5x<BR>\n" );
document.write( "3.5x = 7000<BR>\n" );
document.write( "x = 2000 (# of units to produce to break even)\r<BR>\n" );
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document.write( "Cheers,<BR>\n" );
document.write( "Stan H. </SPAN>\n" );
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