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cupoosta [38]
3 years ago
12

A retailer incurs a fixed cost of N$ 500 when purchasing sugar for his stock. He pays N$ 10.00 per packet which he resells at N$

15.00 per packet. How many packets should he purchase and sell in order to break even?
Mathematics
1 answer:
Arada [10]3 years ago
8 0

Answer:

100 packets

Step-by-step explanation:

Given :

Cost = fixed cost + variable cost

Fixed cost = $500

Variable cost = $10

Sales price = $15

Let :

Number of packets = x

To break even :

fixed cost + variable cost = sales made

500 + 10x = 15x

500 = 15x - 10x

500 = 5x

x = 500 / 5

x = 100

100 packets

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