Molding Moulding
July 19th, 2009
Northwest Molded molds plastic handles which cost $1.00 per handle to mold. The fixed cost to run the molding?
I need help solving this problem please?
Northwest Molded molds plastic handles which cost $1.00 per handle to mold. The fixed cost to run the molding machine is$4608 per week. If the company sells the handles for $4.00 each, how many handles must be molded weekly to break even?
Hello there.
The handles are sold for $4 each, but they cost $1 each to mold. Thus each handle brings in a profit of $3 when sold.
To cover $4608, 1536 handles have to be sold to break even.
$4608 divided by $3 per handle = 1536 handles.
Hope this helps.
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