Question
Break Even Analysis (4 points) A USB driver producer sold one of its USB drivers to the market at a unit price of $20. To
Break Even Analysis (4 points)
A USB driver producer sold one of its USB drivers to the market at a unit price of $20. To produce this type of USB driver, this producer invested a total of $20,000 in manufacturing plant and equipment. Also, for each USB driver produced, this producer needs to spend $10 on raw material/packaging and the assembly worker's salary. As such,
(1) What is the break-even point quantity?(1 point)
(2) When the producer sells this USB driver to the market at an amount equal to the break-even quantity, what is his total cost? (1 point)
(3) When the producer sells this USB driver to the market at an amount equal to the break-even quantity, what is his total revenue? (1 point)
(4) If this producer can sell an additional 1000 USB drivers to the market after reaching the break-even point quantity sales, what is his profit? (1 point)
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