Question

the point at which a company costs equals it's revenue is the break even. find the number of units that must be produced and sold in order to break even. c=15x+12,000. R=18x-6000

Answer 1

This is the concept of financial mathematics;

Break even point is defined mathematically as:

Cost=Revenue

At this point the organization doesn't make any profits because the cost is equal to the revenue. Therefore , to solve our expression we proceed as follows;

The question requires us to find the number of units of products that must be sold in order to break even, to solve this we proceed as follows;

At break even;

C=R

but;

C=13x+80

R=18x

hence;

18x=13x+80

putting the like terms together we get:

18x-13x=80

5x=80

dividing both sides by 5 we get:

(5x)/5=80/5

x=16

Therefore the number of units that must be sold in order to break even is:

x=16 units

Explanation:

Hope this helps! (: