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Question 3 :
If R=15x + 500 and C= 10x+2500, then the break even point is
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Given : R=15x + 500 and C= 10x+2500,
To Find : the break even point
Solution:
R=15x + 500
is revenue function
C= 10x+2500,
is cost function
at breakeven
revenue and cost are same
Hence equate both functions
15x + 500 = 10x+2500,
=> 5x = 2000
=> x = 400
break even point is 400
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