Use the following to answer question:
-(Table: Soybean Cost)Use Table: Soybean Cost.What is the break-even price for this farmer?

Question

Use the following to answer question: 
-(Table: Soybean Cost)Use Table: Soybean Cost.What is the break-even price for this farmer?

Quizplus · Accepted Answer

The break-even price is the price at which the total revenue equals the total cost. In this case, the total cost at 2,000 bushels is $27,000. To find the break-even price, divide the total cost by the number of bushels: $27,000 ÷ 2,000 = $13.50. Therefore, the farmer needs to sell each bushel of soybeans at $13.50 to break even. Therefore, the best choice is B.

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