a companys fixed cost is 120000. It cost the company 280 to prduce each unit of its product and it sells each unit for 310 Answer: If you are asking about the amount of product units that must be sold to break-even, then the answer is 4000 units . Step-by-step explanation: This is a type of economics problem. The formula relating the profit P , Variable costs VC , Fixed Costs FC , Product Demand D , and Selling Price p is shown below: (Eqn 1) In order to get the breakeven demand, we must first define what breakeven means. Breakeven point is a point that forms from the intersection of supply and demand curves. In simple words, it is the certain event where your profit is basically equal to 0 . But what is Breakeven Demand? Breakeven Demand is the number of product units that must be sold in order to get the breakeven point. Thus, we can use Eqn 1 to derive the formula in finding the breakeven demand. (Eqn 2) Using this equation we can now find the breakeven deman...
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