Suppose that the capacity of the flashlight assembly line


The Amalgamated Flashlight Company shows a profit of $4,500 on a production of 6000 flashlights and a profit of $10,500 when the production is 10,000

(a) If flashlights sell for $2.25 apiece, find the cost equation for flashlight production.

(b) Plot cost and revenue on the same axes and locate the break-even point.

(c) Suppose that the capacity of the flashlight assembly line is 30,000 flashlights. How must the price be set to make possible a $90,000 profit?

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Econometrics: Suppose that the capacity of the flashlight assembly line
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