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    Revenue Function and Cost Function

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    A business owner used a revenue function and a cost function to analyze his monthly sales. One month he found that with a sales volume of 600 items he had revenues of $54,000. Another month he had total costs of $20,800 on a sales volume of 400 items. He also finds that the break even point is 20 items.

    a. Find the revenue function.

    b. Find the cost function.

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    https://brainmass.com/business/standard-costing-cost-control-and-measuring-performance/revenue-function-cost-function-593344

    Solution Preview

    A business owner used a revenue function and a cost function to analyze his monthly sales. One month he found that with a sales volume of 600 items he had revenues of $54,000. Another month he had total costs of $20,800 on a sales volume of 400 items. ...

    Solution Summary

    Based on the given information, the revenue and cost functions are estimated. The solution to the two questions include step by step details and calculations.

    $2.49

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