Question 480496
Assume that a company has total annual fixed costs of $480,000 and that variable costs is $6 per unit. If each unit sells for $10, then each unit exceeds the specific variable costs by $4. 
a. What is the cost function? 
C(x) = 6x + 480000
b. What is the revenue function? 
R(x) = 10x
c. How many units must be sold in order for the company to break-even?
set
R(x) = C(x)
10x = 6x + 480000
4x = 480000
x = 120,000 units