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E.A.B., Inc. sells souvenirs to gift shops that cost $ 0.65 each to make. In addition, there are fixed costs of $6,800 per week to
E.A.B., Inc. sells souvenirs to gift shops that cost $ 0.65 each to make. In addition, there are fixed costs of $6,800 per week to run the various machines. Assume the company sells the souvenirs for $2.50 each. a) How would you express the cost equation using the information above? Cost = ? How would you express the revenue equation using the information above? Revenue = ? c) What is the profit or loss if you make and sell 5,000 souvenirs? d) How many souvenirs must be sold to breakeven (no profit or loss)
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