
Tim E. answered 01/11/18
Tutor
5.0
(43)
Comm. College & High School Math, Physics - retired Aerospace Engr
REVENUE = $80(S) where S = # OF STUDENTS
Fixed costs
2,200
340
5,200
4,000
------
$11,740
Variable costs = 3(S)
to break even, REVENUE - COSTS = 0
So 80S - (11,740 + 3S) = 0
or 77S = 11,740
To break even , S (number of students) would be 152.4675 or to round up 153 students
153*$77(net) = $11,781 or just $41 over their costs of $11,740