Given the following Revenue and Cost Functions Revenue 550X

Given the following Revenue and Cost Functions: Revenue = 55.0X + 1100.0 Cost = 12.0X + 28000.0 Find the Breakeven Point.

Solution

Breakeven Point is the number of units, where total revenue exactly matches the total cost.

So, 55.0X + 1100.0 = 12.0X + 28000.0

or, 43 X = 26900

or, X = 625.581 (ANS)