Z00044. A company markets exercise DVDs that sell for $29.95, including shipping and handling. The monthly fixed costs (advertising, rent, etc.) are $38,130 and the variable costs (materials, shipping, etc.) are $9.45 per DVD.
(A) Find the cost equation and the revenue equation.
(B) How many DVDs must be sold each month for the company to break even ?
(C) Graph the cost and revenue equations in the same coordinate system and show the break-even point. Interpret the regions between the lines to the left and to the right of the break-even point.