Question: youll need to come up with your own business scenario...
You'll need to come up with your own business scenario. Make sure that your numbers are realistic (i.e. use 4.99 instead of 5 for selling price for example). What is your product to be sold (just focus on one type of product for this scenario)?
1) What is Marginal cost for your product? What is fixed cost in your business (consider rent, utilities, price of internet connection, etc.)? Make sure to specify what's included in your costs (for example, rent, utilities, etc.). What is the Cost equation C(x)? 2) What is the selling price for your product? What is Revenue equation R(x)? 3) What is the break-even amount for your business (per week, month, etc.)? Is it a realistic value? 4) What is Profit function P(x)? Do you think your business will be profitable?