Question #91d56

1 Answer
Jul 27, 2017

We must make an assumption here.

Explanation:

I will assume that the next line of the problem reads, "How many units of the product will the company need to sell in order to break even?"

Revenue = 1.20x, where x is in units.
Cost = 0.65x + 10,000, where x is in units.
The break-even point occurs where Revenue equals Cost.

1.20x = 0.65x + 10000
0.55x = 10000.
Now simply divide by 0.55 and advance to the next whole number ("round all fractions up").