Question

Bridal Solutions, which sells European wedding dresses, has the following weekly

revenue and cost functions:
R(d) = 12000
C (d) = 350d + 5000
where R (d) represent the weekly revenue for selling d wedding dresses and
C(d) represent the weekly cost for selling d wedding dresses.

Answer 1

Explanation:

Given the weekly revenue and cost function

R(d) = 12000

C (d) = 350d + 5000

A firm break even point occurs when the amount of revenue is equal to the cost.

If the company Bridal solution breaks even then C(d) = R(d)

350d + 5000 = 12000

350d = 12000 - 5000

350d = 7000

divide both sides by 350

350d/350 = 7000/350

d = 20

Hence the total number of wedding dressing to be sold by Bridal Solutions for them to break even is 20 dresses.