A guitar factory has a cost of production C(x) = 100x + 56000 , where is the number of guitars produced . If the company needs t
o break even after 150 units sold, at what price should they sell each guitar ? Use the variable p to represent the price Round up to the nearest dollar .
The breakeven point is the level of production at which the costs of production equal the revenues for a product. So, considering P the price of a guitar unit, we have that:
If the company wants to just break even, that means that the cost to produce 150 guitars is equal to the price they charge to make a 0 profit. The cost of 150 guitars is
C(150) = 100(150) + 56000 and
C(150) = 71000. That's how much it costs to produce 150 guitars. If they want to make nothing at all, they have to sell the 150 guitars for
