If x unit of a product cost C dollars to manufacture and earn revenue of R dollars, the value of X where the expression for C and R are equal is called break-even quantity, the number of units that produce zero profit. Find the break-even quantity when c=14X+48000 and R=18X
Hmmm.
set R=C and solve for x.
Is there something you don't understand about that?
To find the break-even quantity, we need to set the cost and revenue expressions equal to each other and solve for X.
Given:
Cost expression: C = 14X + 48000
Revenue expression: R = 18X
To find the break-even quantity, set C equal to R:
14X + 48000 = 18X
Now, we can solve for X:
Subtract 14X from both sides:
48000 = 18X - 14X
Combine like terms:
48000 = 4X
Divide both sides by 4 to isolate X:
48000/4 = X
12000 = X
Therefore, the break-even quantity is 12,000 units.