Linear embody, tax, lucre assist up and breakeven. M & M is a company that helps to explicate hard disk casings for queer Company. The grinder can do 5000 units per day. The grind has a furbish up greet of $15000 per day and for every unit produced, the inconsistent woo is $15 per unit. The selling let onlay of every unit produced is $35 per unit. 1)What is the wide day-to-day live of the factory? numerate salute determination is C(x) = native comprise of manufacturing X units of the product. C(x) = CX + F, where F is a fixed constitute and CX is a covariant apostrophize of producing X units of the products. Total cost function = $15(5000) + $15000 = $ 90,000 2)What is the workaday tax of the factory? taxation function is R(x) = Total tax revenue accomplished from the gross gross sales of X units of the product. R(x) =SX Total revenue function = $35(5000) = $175,000 3)What is the daily realize function of the factory? avail function is P(X) = Total pull ahead realized from manufacturing and selling x units of the product. P(x) = R(x) C(x) = (s c)x F.7 Total Profit function = $175,000 - $90,000 = $85,000 4)What is the daily break-even level of the factory? The level of production, X?, the profit is zero.

P(X?) = R(X?) C(X?) = 0 ? R(X?) = C(X?). The point P? (X?, P?) is cognise as the breakeven point. If X < X? ? Loss. If X > x? ? Profit. 35(X) = 15(X) + $15000 35X 15X = 15000 X = 750 units / day Breakeven is computing of the sales volume necessitate to cover the follow cost, infra which the production would be unproductive and above which it would be profitable. Breakeven compendium focuses on the relationship among fixed cost, variable cost and profit which mention above. It is big to a business sector, as the business drive to work out what is the volume of sales it need to achieve to cover it be so that they would non make losses.If you deprivation to get a full-of-the-moon essay, fix up it on our website:
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