A company produces widgets. The cost to produce x widgets is given by C(x) = 50x + 2000. If each widget sells for $75, how many widgets must be sold to break even?

Thu, 16 Apr 2026 19:57:55 +0000

Breaking Even: How Many Widgets Does the Company Need to Sell to Cover Costs? Understanding the break-even point is essential for any business looking to operate sustainably and profitably. For companies producing physical goods—such as widgets—the break-even analysis reveals the exact number of units that must be sold to cover all production and operating costs. In this article, we’ll explore how to calculate the break-even point using the cost function for widget production and determine the sales volume needed to achieve profitability. --- ### What Is the Widget Production Cost?