chelseaflonders
Answered

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A small publishing company is planning to publish a new book. The production costs will include the time fixed, costs (such as editing) and variable costs (such as printing). There are two production methods it could use. with one method the one time fixed costs will total $71,583 and the variable costs will be $9.50 per book. With the other method, the one-time fixed costs will total $22,293, and the variable costs will be $22.75 per book. For how many books produced will the costs from the two methods be the same? 

Sagot :

P=Production Method

B=Amount Of Books

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METHOD 1:

P=71583+9.50*B

METHOD 2:

P=22293+22.75*B

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Now, ideally P=P...

71583+9.50B=22293+22.75B

71583-22293=22.75B-9.50B

49290=(53/4)*B

4*49290=53B

197160=53B

B=197160/53=3720.

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So, 3,720 books should be printed when using production method 1, and also when using production method 2 - if you'd like to see both production methods cost the same amount of money to implement.

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This can be proven below:

71583+9.50*3720=106,923.

22293+22.75*3720=106,923.



thimmu
P=PRODUCTION
P=71583+9.50×B
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