Question $2(8$ points$)$

You are thinking of opening a copy shop. It costs $$8000$ to rent a copier for a year. It

costs $$0\mathrm{.}05$ per copy to operate the copier. Other fixed costs of running the store

amount to $$900$ per month. You charge an average of $$0\mathrm{.}17$ per copy. You are open

$365$ days per year. Each copier can make up to $150,000$ copies per year.

a$.$ Using Excel, construct a two$-$way profit table $($number of copiers on the left

running top to bottom and daily demand on the top running from left to right$)$ for $1$ to $5$

copiers rented and daily demands of $1000,1500,2000,$ and $2500$ copies per day. That

is$,$ compute annual profit for each of these combinations of copiers rented and daily

demand.

b$.$ Given that you rent three copiers, what daily demand for copies will allow you to

break even? Draw a break$-$even graph to show this break$-$even relationship.