Problema Solution
If x units of a product cost C dollars to manufacture and earn revenue of R dollars, the value of x where the expressions for C and R equal is called the break-even quantity, the number of units that produce zero profit. Find the break-even quantity when C=14x+20000 and R=16x. How many units must be produced and sold in order to break even?
Answer provided by our tutors
since r and C are equal
C = R
14x+5600 = 18x
5600 = 18x - 14 x
5600 = 4x
x= 1400