How many computers must the AB Computer Company sell to break even? Let x be the number of computers.Cost Function:c(x)=145+1/4xRevenue Function: r(x)=15xEnter in the number of computers only.
Accepted Solution
A:
Answer: [tex]10\ computers[/tex]Step-by-step explanation: To solve this exercise it is important to remember the cost must be equal to the revenue in order to break even. In this case, given the Cost function: [tex]c(x)=145+\frac{1}{4}x[/tex] And given the Revenue function: [tex]r(x)=15x[/tex] We must equate them: [tex]c(x)=r(x)\\\\145+\frac{1}{4}x=15x[/tex] Since "x" represents the number of computers that AB Computer Company must sell to break even, we have to solve for "x" in order to find its value. Then: [tex]145+\frac{1}{4}x=15x\\\\145=15x-\frac{1}{4}x\\\\145=14.75x\\\\x=9.83\\\\x\approx10[/tex] Therefore, the AB Computer Company must sell 10 computers to break even.