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ENGR 133, Lab-03

Authored By: Yazan Abbasi

Authored on: 9/25/21

Exercise #1... Problem 5.1

Problem Statement

We are asked to construct a breakeven plot for producing and selling a chemical product. We are given vlaues

for fixed cost (FC), variable cost (VC), quantity (Q), and unit selling price (P). We want to know the breakever

point, the range of profitable production, and the quantity of product that produces maximum profit.

Pseudocode

• Initialize variables

• Preform calculations

• Evaluate results

• Display results

Problem Solution

Initialize variables

Preform calculations

Evaluate results

Display results

clc,clear,close all

FC = 3e6; % fixed cost in dollars per year

VC = 0.025; % variable cost in dollars per gallon produced

P = 0.055; % selling price in dollars per gallon sold

Q = [0:200]*1e+6; % quantity produced/sold in millions of gallons per year

TC = FC + Q*VC; % returns total cost (TC) per year in $M

TR = Q*P; % returns total revenue (TR) per year in $M

TP = TR - TC; % returns profit per year in $M

idx = find(TP>0); % finding all positive indexes where TP is positive

minQ_idx = min(idx); % findinf first index where TP is positive

BEP = Q(minQ_idx); % return breakeven point in m illions of gallons per year

plot(Q*1e-6, TC, Q*1e-6, TR, '--')

title('production Economic Model')

xlabel('Quantity Produced/Sold, millions of gallons')

ylabel('Total revenue/cost, $M')

legend('Total Cost', 'Total Revenue', 'location', 'northwest')

grid on

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The breakeven point occurs at 101 million gallons.

Operations are profitable above this point.

there is no upper limit on profitability.

Exercise #2... Subplots

Problem Statement

We are asked to construct a 2 by 2 grid of plots showing sin(x), cos(x), e^x, and both sin(x) and cos(x) on the

same subplot. We must include elementsto to create proper plots.

Pseudocode

• Initialize variables

• Display results

Problem Solution

Initialize variables

fprintf('Operations are profitable above this point. \n\n')

fprintf('The breakeven point occurs at %3.0f million gallons. \n\n', BEP*1e-6)

fprintf('there is no upper limit on profitability. \n\n')

clc,clear,close all