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 are equal is called the break-even quantity, the number of units that produce zero profit. Find the break-even quantity when C=12x+32000 and R=14x

Answer provided by our tutors

C=R

12x+32000 = 14x

x = 16000

So the number of units that produce zero profit is 16000