Thinking Mathematically (6th Edition)

Published by Pearson
ISBN 10: 0321867327
ISBN 13: 978-0-32186-732-2

Chapter 7 - Algebra: Graphs, Functions, and Linear Systems - 7.3 Systems of Linear Equations in Two Variables - Exercise Set 7.3 - Page 445: 51

Answer

The number of radios that must be produced and sold is\[500\].

Work Step by Step

The revenue function is \[R\left( x \right)=50x\] and the cost function is \[C\left( x \right)=10000+30x\]. The break–even point occurs where the revenue and cost function intersect. So, to calculate the number of produced and sold radios for the break–even point,\[R\left( x \right)\] will be equal to \[C\left( x \right)\]. Therefore, \[\begin{align} & R\left( x \right)=C\left( x \right) \\ & 50x=10,000+30x \\ & 50x-30x=10,000 \\ & 20x=10,000 \end{align}\] and \[\begin{align} & x=\frac{10,000}{20} \\ & x=500 \end{align}\] The number of radios is \[500\]. Hence, the number of radios that must be produced and sold is \[500\].
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