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Fixed startup costs for a new job, including machines, tooling, and training, equal $750,000. The variable costs equal $2.75 per unit. For this problem, ignore
Fixed startup costs for a new job, including machines, tooling, and training, equal $750,000. The variable costs equal $2.75 per unit. For this problem, ignore overhead and other operating costs. a) If you sell the product for $8.00 per unit, how many units must you sell before breaking even? Use the grid below to graph the cost curve and the revenue curve. Identify the breakeven point. 110,000 130,000 150,000 170,000 190,000 210,000 100,000 120,000 140,000 160,000 180,000 200,000 b) If you sell 275,000 units: Calculate the average cost per unit. Round your answer to the nearest $0.01. Calculate the total profit earned if you sell these units
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