Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

The O'Neill Shoe Manufacturing Company will produce a special - style shoe if the order size is large enough to provide a reasonable profit. For

The O'Neill Shoe Manufacturing Company will produce a special-style shoe if the order size is large enough to provide a reasonable profit. For each special-style order, the company incurs a fixed cost of $2000 for the production setup. The variable cost is $60 per pair, and each pair sells for $80. How large must the shoe order be before O'Neill will break even? [15 points}
a. Let x indicate the number of pairs of shoes produced. Develop a mathematical model for the total cost of producing shoe repairs. C(x)=2000+60x
b. Let P indicate the total profit. Develop a mathematical model for the total profit realized from an order for x pairs of shoes. P(x)=2000+60(80)
c. What is the breakeven point?
image text in transcribed

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Environmentally Responsible Supply Chains

Authors: Atalay Atasu

1st Edition

331930092X, 978-3319300924

More Books

Students also viewed these General Management questions

Question

Que> Write short note on reaction turbine.

Answered: 1 week ago

Question

What if centripetal and centrifugal force in classical mechanics?

Answered: 1 week ago