Question: Break-point analysis A machine to make a paper fastener has a set-up cost of $1200 and a unit cost of $0.0005 for each item. A

Break-point analysis  A machine to make a paper fastener has a set-up cost of $1200 and a unit cost of $0.0005 for each item. A second one has a fixed cost of $1500 but a unit cost of $0.0015 for each.  

a) Write the equation for each.                                      

b) Set them equal to each other, and solve algebraically.  

c) Then plot the two functions simultaneously. The results should match.


2 Investment $2000 is to be invested, part at 5% and part at 9% annual interest. The interest to be earned is $150.                 

a) Represent the amount at 5% and the amount at 9%.                      

b) Using those amounts write an equation to result in interest of $150.     

c) Solve for the amount to be invested at each rate.

d) Check.


3 For each pair a) write each equation in standard form, y = mx + b   5 cr each   

      b) Determine if they are parallel or intersect (may be perpendicular) 

      c) Plot them on the same set of axes.                       

      d) Do the results match?   

Pair #1:  2x + 4y = 5 and -2x = 6 - y       Pair #2:  2x + 4y = 5 and x= 6-2y  


4. Depreciation   An item purchased for $1050 is depreciated at the rate of $120/yr. If its useful life is 8 years, what is its salvage value in 8 years?  


5. Appreciation  An antique is expected to appreciate $40/yr and will be worth $450 in two years so solve: x + 2($40) = $450.  Then what is its worth in 13 yrs.?

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock

Breakpoint analysis a The equations for each machine are Machine 1 C 00005x 1200 Machine 2 C 00015x ... View full answer

blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!