Question

emmanuel decided to put up a candy shop that sell a diary chocolate that cause 135 per pack the cost of making the chocolate is 90 and the operating expenses is 4,500 how many pack of diary chocolate must be sold to break even. How many packs of dairy chocolate must be sold to break even?​

Answer 1

Given :  emmanuel decided to put up a candy shop that sell a diary chocolate  at 135 per pack  

cost of making the chocolate is 90 and the operating expenses is 4,500

To Find : how many pack of diary chocolate must be sold to break even

Solution:

cost of making the chocolate is 90

Let say number of chocolates = n

Variable Cost   = 90n

Fixed Cost = 4500

Cost = Fixed Cost + Variable cost

Cost = 4500 + 90n

Selling Price per piece  = 135

Revenue = 135n

At break even Cost = Revenue

135n = 4500 + 90n

=> 45n = 4500

=> n = 100

100 packs of dairy chocolate must be sold to break even

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