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Rob makes metal sculptures to sellat craft shows. His initial cost fordesigning the sculptures and buyingthe welding equipment is $200. ltcosts him $10 for materials to makeeach sculpture. He can sell them for$50 apiece. How many must he sellto break even?

Rob makes metal sculptures to sellat craft shows. His initial cost fordesigning the sculptures and buyingthe welding equipment is 200. ltcosts him 10 for materi class=

Verified Answer :

meerkat18

Given:
Fixed cost: 200
Variable cost: 10 per sculpture
Sales price: 50 per scultpure

Break Even is when total sales is equal to total cost where profit is 0.

50x = 200 + 10x
50x - 10x = 200
40x = 200
x = 200/40
x = 5

He needs to make 5 sculptures to break even. For 6 sculpture and above, he will generate a profit.

Answer:

Wow this was posted 5 years ago

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