Question

Given the cost function, C(x), and the revenue function, R(x), find the number of units x that must be sold to break even.

Answer 1

The number of units of x that must be sold to break even is 12 units.

Explanation:

It is given that the cost function C(x) is given by

$C(x)=9000 x+72,000$

Also, the revenue function R(x) is given by

$R(x)=15,000 x$

The break even point can be determined by equating the cost function and the revenue function.

Thus, we have,

$15,000 x=9000x+72000$

Subtracting both sides by $9000x$ , we get,

$6000x=72000$

Dividing both sides by $6000$ , we have,

$x=12$

Thus, it takes 12 units to be sold to break even.

Hence, the number of units of x that must be sold to break even is 12 units.