1. A company wants to launch a new product. it is observed that the fixed cost of the new product is $35,000 and the variable cost per unit is $500. The revenue function for the sale of D unit is 5000D-100 D². What is the company's break-even points? 2. The OEM company specializing in printed circuit board manufacturing has annual fixed expenses of P500,000,000 and variable costs of P1400 per board. How many circuit boards must they create and sell to break even if they charge P2,200 each circuit board?

1. A company wants to launch a new product. it is observed that the fixed cost of the new product is $35,000 and the variable cost per unit is $500. The revenue function for the sale of D unit is 5000D-100 D². What is the company's break-even points? 2. The OEM company specializing in printed circuit board manufacturing has annual fixed expenses of P500,000,000 and variable costs of P1400 per board. How many circuit boards must they create and sell to break even if they charge P2,200 each circuit board?

Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)

14th Edition

ISBN:9781305506381

Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris

Chapter8: Cost Analysis

Section: Chapter Questions

Problem 2E

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