Question

find the operating expenses, the operating loss, and the absolute loss.

cost	operating expenses	break - even point	reduced price	operating loss	absolute loss

cost	operating expenses	break - even point	reduced price	operating loss	absolute loss

Explanation:

Step 1: Find Operating Expenses

The break - even point is calculated as the sum of cost and operating expenses. So, if we let \( OE \) be the operating expenses, \( Cost = 48\) and \( Break - even\ Point=63\), we have the formula \( Break - even\ Point=Cost + OE\). Rearranging for \( OE\), we get \( OE=Break - even\ Point - Cost\).
Substituting the values, \( OE = 63-48=\$15\).

Step 2: Find Operating Loss

Operating loss is the difference between the break - even point and the reduced price. Let \( OL\) be the operating loss. The formula is \( OL = Break - even\ Point - Reduced\ Price\).
Substituting the values, \( OL=63 - 43=\$20\).

Step 3: Find Absolute Loss

Absolute loss is the difference between the cost and the reduced price. Let \( AL\) be the absolute loss. The formula is \( AL=Cost - Reduced\ Price\).
Substituting the values, \( AL = 48-43=\$5\).

Answer:

Operating Expenses: \(\$15\), Operating Loss: \(\$20\), Absolute Loss: \(\$5\)