document.write( "<A HREF=/cgi-bin/jump-to-question.mpl?question=1101728>Question 1101728</A>: <I><SPAN STYLE=\"word-break: break-all;\"> A group is starting a business. They make an initial investment of $3,450.<BR>\n" );
document.write( "The unit cost of the product is $3.25, and the selling price is $7.00.<BR>\n" );
document.write( "Find equations for the total cost C and the total revenue R for x units. </SPAN>\n" );
document.write( "</I><HR><TABLE width=100%><TR><TD><B><A HREF=http://www.algebra.com/>Algebra.Com's</A> Answer #716600 by </B><A HREF=/tutors/aboutme.mpl?userid=Theo><B>Theo(13342)</B></A><img src=\"/images/stars/stars-13.gif\" alt=\"\" >&nbsp;<A HREF=/tutors/aboutme.mpl?userid=Theo><IMG SRC=http://www.algebra.com/images/aboutme-small.gif BORDER=0 alt=\"About Me\" VALIGN=MIDDLE></A>&nbsp;<IMG SRC=http://www.algebra.com/cgi-bin/show-face.mpl?user=Theo><BR>You can <A HREF=\"/cgi-bin/embed-solution.mpl?show=1&solution=716600\">put this solution on YOUR website!</A><BR><SPAN STYLE=\"word-break: break-all;\"> their initial investment is 3450.<BR>\n" );
document.write( "this is a fixed cost.<BR>\n" );
document.write( "their unit cost for selling the product is 3.25 * the number of products made.<BR>\n" );
document.write( "their unit revenue for selling the product is 7.00 * the number of products sold.\r<BR>\n" );
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document.write( "the cost equation is:\r<BR>\n" );
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document.write( "cost = 3450 + 3.25 * x\r<BR>\n" );
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document.write( "the revenue equation is:\r<BR>\n" );
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document.write( "revenue = 7.00 * x\r<BR>\n" );
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document.write( "x represent the number of units made and sold.\r<BR>\n" );
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document.write( "they will start making a profit when the revenue exceeds the cost.\r<BR>\n" );
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document.write( "that's when 7.00 * x > 3450 + 3.25 * x\r<BR>\n" );
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document.write( "subtract 3.25 * x from both sides of this equation to get:\r<BR>\n" );
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document.write( "7.00 * x - 3.25 * x > 3450\r<BR>\n" );
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document.write( "simplify to get 3.75 * x > 3450\r<BR>\n" );
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document.write( "solve for x to get x > 3450 / 3.75.\r<BR>\n" );
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document.write( "this results in x > 920.\r<BR>\n" );
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document.write( "they will need to sell more than 920 units in order to start making a profit based on these revenue and cost equations.\r<BR>\n" );
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document.write( "when x = 920:\r<BR>\n" );
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document.write( "7.00 * x = 6440 and 3450 + 3.25 * x = 6440.\r<BR>\n" );
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document.write( "that's your break even point.\r<BR>\n" );
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document.write( "each unit sold above that will give a profit of 3.75 per unit.\r<BR>\n" );
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document.write( "for example:\r<BR>\n" );
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document.write( "921 units sold yields revenue of 6447 and cost of 6443.25.<BR>\n" );
document.write( "profit is equal to 3.75.\r<BR>\n" );
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document.write( "your solution is:\r<BR>\n" );
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document.write( "revenue = 7.00 * x<BR>\n" );
document.write( "cost = 3450 + 3.25 * x\r<BR>\n" );
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document.write( " </SPAN>\n" );
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