Question
A suburban factory makes three types of motorcycles. Each type of motor is made of engine parts and two wheels. The factory uses three brands
A suburban factory makes three types of motorcycles. Each type of motor is made of engine parts and two wheels. The factory uses three brands of engine parts - Chrome Catalyst, Platinum Power and Silver Streak.
Motorcycles are built and sold as follows;
Type 1
Chrome Catalyst engine parts
Cost of engine parts $876
Sale price range $1000-$1200
Type 2
Platinum Power engine parts
Cost of engine parts $1228
Sale price range $1400-$1600
Type 3
Silver Streak engine parts
Cost of engine parts $1024
Sale price range $1200-$1400
Cost of wheels (each)
$65
$65
$65
Regardless of the type of engine parts used to make a motorcycle , there are fixed production costs of $4000
question:
- Find the total cost and total revenue functions for each type of motorcycle. For the revenue function, select a price for each motorcycle type within the price ranges in the table above
- Confirm any points of intersection between the cost and revenue function lines using algebra, round your final answer up to the next whole number
- Profit will also differ for each motorcycle type . Find the profit functions and the break-even points for each type of motorcycle
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