c) (i) A company manufactures a component which it sells for £100. The variable cost associated with its manufacture is £52 per component. Fixed costs allocated total £384,000. Determine how many components to sell to break even (i.e. to cover the sum of fixed and variable costs). the company needs (ii) Plot a graph which shows the break-even point in terms of the number of components produced.
c) (i) A company manufactures a component which it sells for £100. The variable cost associated with its manufacture is £52 per component. Fixed costs allocated total £384,000. Determine how many components to sell to break even (i.e. to cover the sum of fixed and variable costs). the company needs (ii) Plot a graph which shows the break-even point in terms of the number of components produced.
Practical Management Science
6th Edition
ISBN:9781337406659
Author:WINSTON, Wayne L.
Publisher:WINSTON, Wayne L.
Chapter2: Introduction To Spreadsheet Modeling
Section: Chapter Questions
Problem 20P: Julie James is opening a lemonade stand. She believes the fixed cost per week of running the stand...
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