Manager must decide how many machines of a certain type to purchase. Each machine can process 100 customers per day. One machine will result in a fixed cost of $2,200 per day, while two machines will result in a fixed cost of $3,700 per day. Variable costs will be $20 per customer, and revenue will be $45 per customer. Determine the break-even point for two machine. (Round your answers to the next whole number.)

Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter4: Linear Programming Models
Section4.8: Data Envelopment Analysis (dea)
Problem 42P
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Manager must decide how many machines of a certain type to purchase. Each
machine can process 100 customers per day. One machine will result in a
fixed cost of $2,200 per day, while two machines will result in a fixed cost of
$3,700 per day. Variable costs will be $20 per customer, and revenue will be
$45 per customer.
Determine the break-even point for two machine. (Round your answers to
the next whole number.)
Transcribed Image Text:Manager must decide how many machines of a certain type to purchase. Each machine can process 100 customers per day. One machine will result in a fixed cost of $2,200 per day, while two machines will result in a fixed cost of $3,700 per day. Variable costs will be $20 per customer, and revenue will be $45 per customer. Determine the break-even point for two machine. (Round your answers to the next whole number.)
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