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Alice has a tire manufacturing company that can produce a maximum of 4 0 0 0 tires per annum. The fixed costs per annum are

Alice has a tire manufacturing company that can produce a maximum of 4000 tires per annum. The fixed costs per annum are $70,000. The variable costs are $50 per tire, and the selling price per unit is $100.
(i) Calculate the number of tires she should produce and sell per year to break-even.
(ii) In 2008, Alice produced and sold 1000 tires. Did she make a profit or incur a loss, and by what amount?
(iii) In 2009, Alice produced and sold 3000 tires. Did she make a profit or incur a loss, and by what amount?
(iv) In 2010, the manufacturing plant operated at 90% of capacity to produce and sell tires. Calculate the profit made or loss incurred.
(v) In 2011, Alice wanted a profit of $60,000. Find the number of tires that she would have to produce/sell, and the level?
(vi) What is the maximum profit per annum that she can expect from this facility?

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