SanFrancisco Inc. manufactures computer supplies. San Francisco Inc. has variable expenses of $1.50 (for software) and $2.00 (for hardware) per unit. Assume that total fixed expenses are 15,000. The devices are sold for $9 each.

In the space below, first draw a blank Break Even Chart/Graph and then draw the fixed cost line.

Draw the Total Cost Line and the Total Revenue line on the chart (HINT: Make sure these lines intersect)

Now using the information provided above, calculate the Break Even Point. Label both the quantity and the $ amount on the chart. (HINT: To find the $ amount, multiply your break-even point quantity by the selling price).