The cost to produce x unit of lipstick is given as c(x) = 60x + 10000 and the revenue is r(x) = 85x
If the break even is at N
c(N) = r(N)
=> 60*N + 10000 = 85*N
=> 25N = 10000
=> N = 10000/25
=> N = 400
The revenue at break even is 85*400 = 34000
Break-even point = 400 lipsticks.
Revenue at break-even = 34000.
We’ll help your grades soar
Start your 48-hour free trial and unlock all the summaries, Q&A, and analyses you need to get better grades now.
- 30,000+ book summaries
- 20% study tools discount
- Ad-free content
- PDF downloads
- 300,000+ answers
- 5-star customer support
Already a member? Log in here.
Are you a teacher? Sign up now