The figure below shows graphs of the fixed cost function, total cost function and the total revenue function for a certain commodity. 20 Dollars ($) 8000+ 7000 6000 5000 4000 3000 2000 1000 -10 -1000+ 10 20 30 (a) What is the break-even point? e.g. (295,7650) (b) What are the fixed costs? $ TR 40 50 60 70 80 90 Units Percent of capacity= TC If the selling price per unit is $100, and the variable cost per unit is $20: FC 100 enter the answer in the form (x,y) (c) If the maximum production capacity of the commodity is 100, express the break-even units as a percent of capacity? % (round to two decimal places if necessary)

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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The figure below shows graphs of the fixed cost function, total cost function and
the total revenue function for a certain commodity.
20
Dollars ($)
8000
7000
6000
5000
4000
3000
2000
1000
-10
-1000+
10
20
30
(a) What is the break-even point?
e.g. (295,7650)
(b) What are the fixed costs? $
Percent of capacity=
40
Units
TR
TC
If the selling price per unit is $100, and the variable cost per unit is $20:
FC
50 60 70 80 90 100
enter the answer in the form (x,y)
(c) If the maximum production capacity of the commodity is 100, express the
break-even units as a percent of capacity?
% (round to two decimal places if necessary)
Transcribed Image Text:The figure below shows graphs of the fixed cost function, total cost function and the total revenue function for a certain commodity. 20 Dollars ($) 8000 7000 6000 5000 4000 3000 2000 1000 -10 -1000+ 10 20 30 (a) What is the break-even point? e.g. (295,7650) (b) What are the fixed costs? $ Percent of capacity= 40 Units TR TC If the selling price per unit is $100, and the variable cost per unit is $20: FC 50 60 70 80 90 100 enter the answer in the form (x,y) (c) If the maximum production capacity of the commodity is 100, express the break-even units as a percent of capacity? % (round to two decimal places if necessary)
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