SOLUTION: Melinda and Morris sell soft drinks at baseball tournaments. They charge $3 per can.. the cost to purchase the soft drinks is $0.70 per can. They estimate that they can sell at le

Algebra ->  Coordinate Systems and Linear Equations  -> Linear Equations and Systems Word Problems -> SOLUTION: Melinda and Morris sell soft drinks at baseball tournaments. They charge $3 per can.. the cost to purchase the soft drinks is $0.70 per can. They estimate that they can sell at le      Log On


   

Question 1154987: Melinda and Morris sell soft drinks at baseball tournaments. They charge $3 per can.. the cost to
purchase the soft drinks is $0.70 per can. They estimate that they can sell at least 200 cans at
each game.
a. Compute the revenue function
b. The cost functions
c. Break even chart
d. Contribution margin
e. Break-Even Volume
Answer by josgarithmetic(39623) About Me  (Show Source):
You can put this solution on YOUR website!
x, the number of cans

--------------------------------
a. Compute the revenue function
--------------------------------
3x

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b. The cost functions
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0.7x
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c. Break even chart
-----------------------

A chart for this is not necessary. If cost and revenue are equal, this is "break-even".

0.7x=3x
and this can be solved.


The estimated 200 cans?
0.7%2A200=140, cost
-
3%2A200=600, revenue

(profit would be $460).