A plywood manufacturer produces a piece of plywood at a labor cost of PO.50 and material cost of P3.00. The fixed charges of the business are P50, 000 a month and the variable cost is PO.50 apiece. If one piece of plywood sells for P6.00, How many pieces must be produced each moth for the manufacturer to break even?
A plywood manufacturer produces a piece of plywood at a labor cost of PO.50 and material cost of P3.00. The fixed charges of the business are P50, 000 a month and the variable cost is PO.50 apiece. If one piece of plywood sells for P6.00, How many pieces must be produced each moth for the manufacturer to break even?
Chapter1: Making Economics Decisions
Section: Chapter Questions
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
Transcribed Image Text:A plywood manufacturer produces a piece of plywood at
material cost of P3.00. The fixed charges of the busines are P50,000 a month and the
variable cost is P0.50 apiece. If one piece of plywood sells for PE.00, How many
pieces must be produced each moth for the manufacturer to break even?
a labor cost of P0.50 and
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