Problema Solution
A publisher for a promising new novel figures fixed costs (overhead, advances, promotion, copy editing, typesetting and so on) at $64,000, and variable costs (printing, paper, binding, shipping) at $1.60 for each book produced. If the book is sold to distributors for $10 each, how many must be produced and sold for the publisher to break even?
Answer provided by our tutors
let 'x' represent the number of books produced and sold
10x = 64,000 + 1.60x
by solving we find:
x = 7,619 books approximately
click here to see the step by step solution of the equation:
to break even approximately 7,619 books should be produced and sold.