Question

PLEASE HELP!!!!!!!! If the company expects to sell 800 widgets this month, what price must they sell them for to break

even.

Answer 1

Solving for c:

Start with

`P=cw-(1500+2w)`

add 1500+2w to both sides:

`P+1500+2w=cw`

Divide both sides by w:

`(P+1500+2w)/(w)=c`

Prize to break even:

If they break even, the profit is zero, and since we know that w=800, the cost is

`(P+1500+2w)/(w)=c \implies c=(0+1500+2\cdot 800)/(800)=(3100)/(800)=(31)/(8)`