Question
A firm has the following total revenue and total cost schedules: TR = $3Q. TC = $5,500 + $1.3Q. What is the break-even level of
A firm has the following total revenue and total cost schedules:
TR = $3Q.
TC = $5,500 + $1.3Q.
What is the break-even level of output?______units (Round your answer to the nearest whole number).
What is the level of profits at sales of 4,500 units? $_____(Round your answer to the nearest dollar).
As a result of a major technological breakthrough, the total cost schedule is changed to TC = $7,000 + $0.7Q.
What is the break-even level of output?_____units (Round your answer to the nearest whole number).
What is the level of profits at sales of 4,500 units? $_______(Round your answer to the nearest dollar).
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Corporate Finance Principles And Practice
Authors: Denzil Watson, Antony Head
5th Edition
0273725343, 978-0273725343
