A manufacturer sells a product at $8.45 per unit, selling all produced. The fixed cost is $2300 and the variable cost is $7.20 per unit. At what level of production will there be a profit of $5000? At what level of production will there be a loss of $1450? At what level of production will the break-even point occur? There will be a profit of $5000 when the production level is units.
A manufacturer sells a product at $8.45 per unit, selling all produced. The fixed cost is $2300 and the variable cost is $7.20 per unit. At what level of production will there be a profit of $5000? At what level of production will there be a loss of $1450? At what level of production will the break-even point occur? There will be a profit of $5000 when the production level is units.
Trigonometry (MindTap Course List)
10th Edition
ISBN:9781337278461
Author:Ron Larson
Publisher:Ron Larson
ChapterP: Prerequisites
SectionP.4: Linear Equations In Two Variables
Problem 8ECP
Related questions
Question
![A manufacturer sells a product at $8.45 per unit, selling all produced. The fixed cost is $2300 and the variable cost is $7.20 per unit. At what level of production will there
be a profit of $5000? At what level of production will there be a loss of $1450? At what level of production will the break-even point occur?
There will be a profit of $5000 when the production level is
units.
...](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F3537a5bf-9ba4-4d46-9d69-9809ffbc0823%2Faa62de4e-3acc-495e-91cd-8fc5d6715f93%2Fn3pi5l_processed.jpeg&w=3840&q=75)
Transcribed Image Text:A manufacturer sells a product at $8.45 per unit, selling all produced. The fixed cost is $2300 and the variable cost is $7.20 per unit. At what level of production will there
be a profit of $5000? At what level of production will there be a loss of $1450? At what level of production will the break-even point occur?
There will be a profit of $5000 when the production level is
units.
...
Expert Solution
![](/static/compass_v2/shared-icons/check-mark.png)
Step 1
Sol:-
Let's first calculate the profit equation:
Profit = Revenue - Total Cost
Revenue = Price x Quantity
Total Cost = Fixed Cost + Variable Cost x Quantity
Trending now
This is a popular solution!
Step by step
Solved in 3 steps
![Blurred answer](/static/compass_v2/solution-images/blurred-answer.jpg)
Recommended textbooks for you
![Trigonometry (MindTap Course List)](https://www.bartleby.com/isbn_cover_images/9781337278461/9781337278461_smallCoverImage.gif)
Trigonometry (MindTap Course List)
Trigonometry
ISBN:
9781337278461
Author:
Ron Larson
Publisher:
Cengage Learning
![College Algebra](https://www.bartleby.com/isbn_cover_images/9781337282291/9781337282291_smallCoverImage.gif)
![Trigonometry (MindTap Course List)](https://www.bartleby.com/isbn_cover_images/9781337278461/9781337278461_smallCoverImage.gif)
Trigonometry (MindTap Course List)
Trigonometry
ISBN:
9781337278461
Author:
Ron Larson
Publisher:
Cengage Learning
![College Algebra](https://www.bartleby.com/isbn_cover_images/9781337282291/9781337282291_smallCoverImage.gif)