Bayside Insurance offers two health plans. Under plan A, Giselle would have to pay the first $50 of her medical bills, plus 25% of the rest. Under plan B, Giselle would pay the first $150, but only 20% of the rest. For what amount of medical bills will plan B save Giselle money? Assume she has over $150 in bills.

Question

Bayside Insurance offers two health plans. Under plan A, Giselle would have to pay the first $50 of her medical bills, plus 25% of the rest. Under plan B, Giselle would pay the first $150, but only 20% of the rest. For what amount of medical bills will plan B save Giselle money? Assume she has over $150 in bills.

Answer 1

costA=50+.25(total-50)

costB=150+.20(total-150)

so costB<costA
put the equations in, and solve for total
50+.25T-12.5<150+.2T-30

.05T<150-30-50+12.5
T<82.5/.05
T<1650 check that.