document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=55460>Question 55460</A>: <I><SPAN STYLE=\"word-break: break-all;\"> suppose you are the manage of a company. your company is going to manutacture a new product. assume that the accounting department has provided you with a cost estimate: the fixed cost will be $3,198 and the variable cost $31.00<BR>\n" );
document.write( "assume also that the sales department has estimates revenue sales as: revenue for each item sols: $154.00\r<BR>\n" );
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document.write( "a) write the linear function C(x) and the revenue function R(x)\r<BR>\n" );
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document.write( "b) analyze the above information and determine the break-even point for the new poduct\r<BR>\n" );
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document.write( "c) find the average cost to produce 145 units of the new product\r<BR>\n" );
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document.write( "d)find the average cost to produce 295 units of the new product. </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #37707 by </B><A HREF=/tutors/aboutme.mpl?userid=ankor@dixie-net.com><B>ankor@dixie-net.com(22740)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=ankor@dixie-net.com><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/cgi-bin/show-face.mpl?user=ankor@dixie-net.com><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=37707\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> cost estimate: the fixed cost will be $3,198 and the variable cost $31.00<BR>\n" );
document.write( "assume also that the sales department has estimates revenue sales as: revenue for each item sold: $154.00<BR>\n" );
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document.write( "Assume x = number of units<BR>\n" );
document.write( "a) write the linear function C(x) and the revenue function R(x)<BR>\n" );
document.write( "Cost: C(x) = 3198 + 31x<BR>\n" );
document.write( "Rev: R(x) = 154x<BR>\n" );
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document.write( "b) analyze the above information and determine the break-even point for the new product<BR>\n" );
document.write( "Break even occurs when revenue = cost: <BR>\n" );
document.write( "154x = 3198 + 31x<BR>\n" );
document.write( "154x - 31x = 3198<BR>\n" );
document.write( "123x = 3198<BR>\n" );
document.write( "   x = 3198/123<BR>\n" );
document.write( "   x = 26 units sold to break even<BR>\n" );
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document.write( "c)find the average cost to produce 145 units of the new product<BR>\n" );
document.write( "C(145) = 3198 + 31(145)<BR>\n" );
document.write( "C(145) = 3198 + 4495<BR>\n" );
document.write( "C(145) = 7693 to produce 145 units<BR>\n" );
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document.write( "Av cost/unit: 7693/145 = $53.06 to produce ea unit<BR>\n" );
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document.write( "d)find the average cost to produce 295 units of the new product.<BR>\n" );
document.write( "C(295) = 3198 + 31(295)<BR>\n" );
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document.write( "Do this the same way.<BR>\n" );
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