Question

In a cheese factory, one pie costs 3800 denars. The fixed ones costs are 1,200,000 denars, and variable costs are 2,500 denars per pie. To encounter: a) income functions. profit and costs; b) the break-even point and profit and loss intervals.

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Answer to a math question In a cheese factory, one pie costs 3800 denars. The fixed ones costs are 1,200,000 denars, and variable costs are 2,500 denars per pie. To encounter: a) income functions. profit and costs; b) the break-even point and profit and loss intervals.

Expert avatar
Eliseo
4.6
110 Answers
a) To find the income function, we can use the formula:
Income = Price per pie * Number of pies sold

In this case, the price per pie is 3800 denars. Let's denote the number of pies sold as 'x'. Therefore, the income function is:
Income = 3800x

To find the profit function, we need to subtract the total cost from the income. The total cost includes both fixed costs and variable costs. The fixed costs are 1,200,000 denars and the variable cost per pie is 2500 denars. So, the total cost function is:
Total Cost = Fixed Costs + Variable Cost per pie * Number of pies sold
Total Cost = 1,200,000 + 2500x

Now, we can find the profit function:
Profit = Income - Total Cost
Profit = 3800x - (1,200,000 + 2500x)
Simplifying this equation, we get:
Profit = 3800x - 1200000 - 2500x
Profit = 1300x - 1200000

b) The break-even point is the point where the profit is zero. To find the break-even point, we set the profit function equal to zero and solve for 'x':
1300x - 1200000 = 0
1300x = 1200000
x = 1200000/1300
x ≈ 923.08

Therefore, the break-even point is approximately 923.08 pies.

To find the profit and loss intervals, we need to analyze the profit function. If the profit is positive, it indicates a profit. If the profit is negative, it indicates a loss. If the profit is zero, it indicates the break-even point.

Let's consider two cases:
1. When x < 923.08 (before the break-even point):
Plugging in numbers less than 923.08 into the profit function, we will get a negative value. This indicates a loss.

2. When x > 923.08 (after the break-even point):
Plugging in numbers greater than 923.08 into the profit function, we will get a positive value. This indicates a profit.

Answer:
a) The income function is Income = 3800x
The profit function is Profit = 1300x - 1200000
The total cost function is Total Cost = 1,200,000 + 2500x

b) The break-even point is approximately 923.08 pies.
Before the break-even point, there is a loss.
After the break-even point, there is a profit.

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