BUSINESS AND ECONOMICS A video game manufacturer is planning to market a handheld version of its game machine. The fixed costs are $550,000 and the variable costs are $120 per machine. The wholesale price of the machine will be $140.
(A) How many game machines must be sold for the company to make a profit?
(B) How many game machines must be sold for the company to break even?
(C) Discuss the relationship between the results in parts A and B.
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