Solving Equations- Word Problems

Front

What is the expression for total cost when manufacturing a product?

Back

Total Cost = Fixed Costs + Variable Costs (e.g., Total Cost = Fixed Cost + Cost per item * Number of items)

Front

How do you calculate break-even point in a business?

Back

Break-even point occurs when Total Revenue = Total Costs. It can be calculated using the formula: Break-even point (in units) = Fixed Costs / (Selling Price per unit - Variable Cost per unit).

Front

What does it mean to break even in a business context?

Back

Breaking even means that a business's total revenues equal its total costs, resulting in neither profit nor loss.

Front

If a product costs $5 to make and sells for $12, what is the profit per unit?

Back

Profit per unit = Selling Price - Cost Price = $12 - $5 = $7.

Front

What is the formula for revenue in a business?

Back

Revenue = Selling Price per unit * Number of units sold.

Front

How do you set up an equation for a word problem involving age?

Back

Identify the variable (e.g., age), translate the words into mathematical expressions, and set up an equation based on the relationships described.

Front

What is the first step in solving a word problem involving equations?

Back

Read the problem carefully, identify what is being asked, and determine the known and unknown variables.

Front

How do you express a relationship between two quantities in an equation?

Back

Use variables to represent the quantities and create an equation that shows how they relate to each other.

Front

What is the significance of fixed costs in a business?

Back

Fixed costs are expenses that do not change with the level of production or sales, such as rent or salaries.

Front

What is a variable cost?

Back

Variable costs are expenses that vary directly with the level of production, such as materials and labor.