The cost of operating a Frisbee company in the first year is $10,000 plus $2 for each Frisbee. Assuming the company sells every Frisbee it makes in the first year for $7, how many Frisbees must the company sell to break even?
Created: 2 years ago |
best des
The expression for operating the company in the first year is 2(f)+10,000, where f is the number of Frisbees. The expression for the revenue is 7f.
The break-even point occurs when revenue equals cost. 7f=2f+10,000
Solve for f.5f=10,000⇒f=2,000 must be sold to break even.
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