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The article mentions that Tesla lost $52 million last quarter when it was producing and selling 240 cars a week and that Tesla needs to
The article mentions that Tesla lost $52 million last quarter when it was producing and selling 240 cars a week and that Tesla needs to produce and sell 440 cars a week to break even. You already know that Tesla operates its plant 50 weeks out of the year and is shut for holidays and maintenance rest of the time. You also know that Tesla cars sell from $40,000 to $100,000 depending on the model, but the average price of a Tesla is $75,000.
- Calculate Teslas variable cost per car.
- Calculate Teslas monthly total fixed costs.
Focus just on operating income (i.e. ignore taxes)
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