# Calculations Around the Break-Even Point

A firm producing poultry feed finds that the total cost C in dollars for producing and selling x units is given by

C = 18 x + 150. Management plans to charge $22.50 per unit for the feed.

1. What is the break-even cost?

2. What is the profit for 75 units of feed sold?

3. How many units must be sold to produce a profit of $1020?

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#### Solution Preview

1. The break even point: the profit = cost

22.50*x = 18 x + 150

x = 33.33

The ...

#### Solution Summary

The solution provides calculations around the break-even point.

$2.19