Question 6 of 16Ali, the CEO of a manufacturing company, decided to expand the product offering of his business to include themanufacture of a specific model automotive unit. To include this product, his business would incur fixed costs of$365,000 per year and variable costs of $6 per unit. He plans to sell each unit for $88.a. Calculate the number of units he would have to manufacture to break even.Round up to the next whole numberb. While manufacturing the unit, he realized that an additional fixed cost of $3,000 per year was required, and alsorealized that to be more competitive in the market he had to drop the selling price by 20%. What is the newbreak-even volume?Round up to the next whole number

(a) Let x number of goods are produced and sold. Given Fixed cost=$365,000 And variable cost=$6x…

Answered: Question 6 of 16 Ali, the CEO of a…

Advanced Engineering Mathematics

10th Edition

ISBN:9780470458365

Author:Erwin Kreyszig

Publisher:Erwin Kreyszig

Chapter2: Second-order Linear Odes

Section: Chapter Questions

Problem 1RQ

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