Company is publishing a new managerial economics text for which it has estimated the following total fixed and average variable costs:
Total fixed costs: $100,000
Average variable costs: $20
Project selling price: $30
a) determine the breakeven output and total sales revenues. (Do not draw chart)
b) determine the output that would generate a total profit of $60,000 and the total sales revenues at the output level (Do not draw chart)