Lan P.

asked • 11/18/20

I don't know how to do a question below. Help me, please!

4. If Gabe’s Soccer Ball Company is able, due to competitive pressure, to charge $60 for a new soccer ball, while one soccer ball costs $28 to make, plus $15,000 per month in overhead costs (mostly Gabe’s extravagant salary) find:

a. The average cost c(x) of producing each soccer ball

b. Algebraically find the number of soccer balls Gabe’s company must produce per month in order to break even (Profit = 0). Profit = Total Revenue – Total Cost

c. Algebraically find the number of soccer balls Gabe’s company must make to earn a profit of $10,000 per month.

d. If Gabe took a pay cut to reduce the overhead costs to $8,000 per month, how many fewer balls would the company have to sell to break even. (There are multiple ways to get this result).

1 Expert Answer

By:

Marc L. answered • 11/18/20

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Lan P.

Thank you so much!!!
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11/18/20

Marc L.

Happy to help :-)
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11/18/20

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