Solve the problem.
-Steve invests in a circus production. The cost includes an overhead of $84,000, plus production costs of $9000 per performance. A sold-out performance brings in $15,000. Determine the number of sold-out performances, X, needed to break even.
A)16 performances
B)5 performances
C)15 performances
D)14 performances

Question

Quizplus · Accepted Answer

To break even, the total revenue must equal the total costs. The equation for total costs is $84,000 + $9,000X, and the revenue for each performance is $15,000. Setting the total revenue equal to the total costs gives $15,000X = $84,000 + $9,000X. Solving for X gives X = 14.

Solve the Problem. -Steve Invests in a Circus Production. the Cost Includes an Cost