Posted by Billy on .
A small publishing company is planning to publish a new book. The production costs will include one-time fixed costs (editing) and variable costs (printing). One time fixed cost will total $76,322. The variable costs will be $10 per book. The publisher will sell the finished product to the book store at a price of $25.50 per book. How many books must the publisher produce and sell that the production costs will equal the money from sales?
the answer is 4924 books..how would i go about solving this problem im suck. Thanks for the help in advance!
Let B = the "break even" number of books.
Production costs=$76,322 + B * $10
Total Sales = B * $25.50
Setting these equal...
Total sales = Production costs
$76,322 + B * $10 = B * $25.50
Solve for B