To Find: the breakeven point where the total cost equations C and total revenue R are given
Answer to Problem 76RE
The numbers of units a company must sell to break even are 8.
Explanation of Solution
Given:
The given equations for the total cost C and total revenue R are
Concept Used:
For the breakeven point to be found the total cost and the total revenue are to be equated. The point when these two are equal is known as breakeven point.
Calculation:
As per the given problem when both the equations are equated
Let us substitute
Now by solving this
Now by substituting this y value which is positive in the above equation we get the number of units. As the units will not be negative we should take positive value.
Conclusion:
The numbers of units a company must sell to break even are 8.
Chapter 7 Solutions
EBK PRECALCULUS W/LIMITS
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- Calculus: Early TranscendentalsCalculusISBN:9781319050740Author:Jon Rogawski, Colin Adams, Robert FranzosaPublisher:W. H. FreemanCalculus: Early Transcendental FunctionsCalculusISBN:9781337552516Author:Ron Larson, Bruce H. EdwardsPublisher:Cengage Learning