Thursday

March 5, 2015

March 5, 2015

Posted by **guitarman** on Monday, March 29, 2010 at 12:20pm.

(1) The profit (in thousand of dollars) on x thousand units of a specialty item is p = 0.6x - 14.5. The cost c of manufactoring x thousand items is given by c = 0.8x + 14.5.

(A) Find an equation that gives the revenue r from selling x thousand items.

The correct equation is r = 1.4x but where did 1.4 come from?

Is 1.4 the slope? If so, how is the slope produced using the given information above?

Someone suggested that profit = revenue - cost and that I should add the two given slopes 0.6 + 0.8 to get 1.4 as the new slope. However, profit = revenue MINUS cost not PLUS cost. Why do I need to add 0.6 and 0.8?

(B) How many items must be sold for the company to break-even?

I understood breaking-even to means when revenue equals cost.

I decided to let p = 0 in the profit equation given above and solve for x.

I got x = 24 but I am so far from the right answer. What did I do wrong?

**Answer this Question**

**Related Questions**

Math - The research department in a company that manufactures AM/FM clock radios...

Math - Functions - The research department in a company that manufactures AM/FM ...

statistic - Suppose that the distribution of household incomes in the United ...

statistics - Annual household incomes in a certain region have a distribution ...

mathss - If x thousand dollars is spent on labor and y thousand dollars is spent...

Calculous - The total cost, in millions of dollars, of producing x thousand ...

calc - On January 1, 2013, at a price of x dollars, the demand for a certain ...

Mathematics - karen exchanged BDS$ two thousand dollars and received EC$ two ...

English - 1) 2025 is it only two thousand and twenty-five or could you also say ...

!math (4) - The demand function for a certain brand of CD is given by p = −...