Question

2. a) Find the break - even points for company X, which sells all it produces, if the
variable cost per unit is $3, fixed costs are $2 and Yrr = 5/9, where q is the number
of thousands of units of output produced.
b) Graph the total revenue curve and the total cost curve in the same plane.
c) Use your answer in (a) to report the quantity interval in which maximum profit
occurs.
Show all steps to get full credit. Solve it Algebraically

Answer 1

Find the solution in the attachments

Answer 2

In this exercise we have to use the knowledge of finance and thus plot a graph, this way we have that it corresponds to:

A)$q= 0 \ or \ q=1$

B) The graph bellow.

C) The points of the grapg bellow.

Knowing that:

$total \ cost = (variable \ cost \ per \ unit + final \ cost \ per \ unit * produced)$

The data that was informed is;

• Variable cost por unit: 3

• Linear cost per unit: 2

• Units produced : 9

A) The result is:

$T= (3+2)*9\\T= 59$

Break even points one the points at which total cost are equal to :

$T(q)= Y_T(9)\\5q= 5\sqrt{9}\\q=\sqrt{9}\\ q= 0 or q=1$

B) One plot of total cost are total revenue are ploted below. The blue curve is of total revenue and real graph is of total cost.

C) With the graph, it's closes that from q=0 ot q=1. Total revenue dominantes total cost and beyond a=1 the total cost dominands total revenue.

See more about finances at brainly.com/question/10024737