document.write( "Question 1099526: A manufacturer sells a product for $10 per unit. The manufacturer’s fixed costs are $1200 per month, and the variable costs are $2.50 per unit.
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document.write( "a) How many units must the manufacturer produce each month to break even?
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document.write( "b) Find the profit function for the manufacturer.
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document.write( "c) Graphtheprofitfunctionshowingclearlytheprofitandlossregions. \n" );
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Algebra.Com's Answer #714062 by ankor@dixie-net.com(22740)![]() ![]() You can put this solution on YOUR website! A manufacturer sells a product for $10 per unit. \n" ); document.write( " The manufacturer’s fixed costs are $1200 per month, and the variable costs are $2.50 per unit. \n" ); document.write( " a) How many units must the manufacturer produce each month to break even? \n" ); document.write( "Break even occurs when revenue = total cost \n" ); document.write( "let x = no. of units \n" ); document.write( "10x = 2.5x + 1200 \n" ); document.write( "10x - 2.5x = 1200 \n" ); document.write( "7.5x = 1200 \n" ); document.write( "x = 1200/7.5 \n" ); document.write( "x = 160 units have to be sold in 1 month to break even \n" ); document.write( ": \n" ); document.write( " b) Find the profit function for the manufacturer. \n" ); document.write( "p(x) = 10x - (2.5x+1200) \n" ); document.write( ": \n" ); document.write( " c) Graphtheprofitfunctionshowingclearlytheprofitandlossregions \n" ); document.write( " \n" ); document.write( "Red is cost, green is revenue, intersect is break even point \n" ); document.write( "Profit area is above the red and to the right of green \n" ); document.write( " |