Find the number of weddings needed to break even?

Mathematics
Tutor: None Selected Time limit: 1 Day

 Picture This charged $100 for video taping a wedding.  For each wedding the variable cost is $25 and the fixed cost is $750.  State the cost, revenue, and profit functions.  Find the number of weddings needed to break even?

**Please show your work!!**

Dec 1st, 2015

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Revenue = $100

Variable cost = $25

Fixed cost = $750

Cost function is determined as under

c= 750+ 25x

where x is the number of units

Revenue function 

R = 100x

Profit function = R-C

P = 100x - (750+25x)

P = 75x - 750


Contribution per unit sold = 100- 25 = 75

Break even point = Fixed cost/ Contribution per unit

= 750/ 75

= 10 units


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Dec 1st, 2015

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