A company specializes in personalized team uniforms. It costs the company $15 to make each uniform a

Discussion in 'Calculator Requests' started by math_celebrity, Sep 3, 2020.

  1. math_celebrity

    math_celebrity Administrator Staff Member

    A company specializes in personalized team uniforms. It costs the company $15 to make each uniform along with their fixed costs at $640. The company plans to sell each uniform for $55.

    The cost function for "u" uniforms C(u) is given by:
    C(u) = Cost per uniform * u + Fixed Costs
    C(u) = 15u + 640

    Build the revenue function R(u) where u is the number of uniforms:
    R(u) = Sale Price per uniform * u
    R(u) = 55u

    Calculate break even function:
    Break even is where Revenue equals cost
    C(u) = R(u)
    15u + 640 = 55u

    To solve for u, we type this equation into our search engine and we get:
    u = 16
    So we break even selling 16 uniforms
     

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