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QUESTION

Farris Billiard Supply sells all types of billiard equipment, and is considering manufacturing their own brand of pool cues.

Farris Billiard Supply sells all types of billiardequipment, and is considering manufacturing theirown brand of pool cues. Mysti Farris, the productionmanager, is currently investigating the production ofa standard house pool cue that should be very popu-lar. Upon analyzing the costs, Mysti determines thatthe materials and labor cost for each cue is $25, andthe fixed cost that must be covered is $2,400 perweek. With a selling price of $40 each, how manypool cues must be sold to break even? What wouldthe total revenue be at this break-even point?

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