what if formula

  • Thread starter Thread starter ladydi011258
  • Start date Start date
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ladydi011258

I need help with the following problem:
This is a book publisher. There is a fixed cost of $1500 for settin
up the press, regardless of how many pages a title has or how man
copies will be made of that title.
Setting the plates for printing costs $2.00 per page, regardless of th
number of books.
The printing and binding of each page of each copy of a title cos
seven cents.
Here are my two senerios:
For 40,000 copies, what should be the book's minimum retail price pe
copy to break even?
If i have a retail price of $28.00, what is the break even quantit
that must be sold?

I just need help in setting up the formulas, especially for the secon
question. Any help you can provide would be greatly appreciated.
thank you
 
Basic formula is

1500 + (2)(#Pages/Book) + (0.07)(#Pages/Book)(#Books) = (#Books)(Retail
Price)

so for #1

[1500 + (2)(#Pages/Book) + (0.07)(#Pages/book)(#Books)]/#Books = (Retail
Price)

for #2

[1500 + (2)(#Pages/Book)]/[(Retail price) - 0.07(#Pages/Book)] = #Books

You didn't provide the number of pages, so the scenario of 40,000 and $28
per copy don't have an answer.

for 200 pages, the retail cost would be 14.0475

for 200 pages and a retail cost of $28, only 136 (135.714285714286) would
need to be sold.
 
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