Question 1100348: The point at which a company's costs equal its revenues is the break-even point. C represents the cost, in dollars, of x units of a product and R represents the revenue, in dollars, from the sale of x units. Find the number of units that must be produced and sold in order to break even. That is, find the value of x for which C=R.
C=13x+20,000 and R=15x
Answer by Theo(13342)   (Show Source):
You can put this solution on YOUR website! C = 13x + 20,000
R = 15x
break even when revenue equals cost.
C = R when 13x + 20,000 = 15x.
start with 13x + 20,000 = 15x
subtract 13x from both sides of the equation to get 20,000 = 2x
solve for x to get x = 10,000
break even occurs when the number of units produced and sold is 10,000
R = 15x = 15 * 10,000 = 150,000
C = 20,000 + 13 * 10,000 = 20,000 + 130,000 = 150,000
|
|
|
