Problema Solution

A small publishing company is planning to publish a new book. The production costs will include one-time fixed costs (such as editing) and variable costs (such as printing). The one-time fixed costs will total

$

32,832

. The variable costs will be

$

11.50

per book. The publisher will sell the finished product to bookstores at a price of

$

25

per book. How many books must the publisher produce and sell so that the production costs will equal the money from sales?

Answer provided by our tutors

let 'x' represent the number of books produced and sold


the production costs: 32,832 + 11.50x


the sales: 25x


the production costs equal the money from sales:


32,832 + 11.50x = 25x


by solving we find:


x = 2,432 books


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the publisher must produce and sell 2,432 books.