Write equations for fixed-variable and average costs

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Reference no: EM13229003

Sven has decided to make and sell his grandmother's pasta. He rents a building for $600/month and pasta equipment for $300/month. The pasta costs $.20 /pound in raw materials to make . Sven can make up to 3000 pounds a month by himself. If he exceeds this he will have to pay his sister Lena $0.25 for each additional pound to help him. Sven plans on selling his pasta for $1.25/pound. Write equations for A) fixed, variable, and average costs B) revenue C) profit (loss) D) How much does he need to sell to make $3000/month?

Reference no: EM13229003

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Write equations for fixed-variable and average costs : Sven has decided to make and sell his grandmother's pasta. He rents a building for $600/month and pasta equipment for $300/month. The pasta costs $.20 /pound in raw materials to make . Sven can make up to 3000 pounds a month by himself.

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