SOLUTION: The cost C and the revenue R for a brokerage firm depend on the number T of transactions executed. Both C and R are measured in dollars. It costs $750 per day to keep the office

Algebra ->  Coordinate Systems and Linear Equations  -> Linear Equations and Systems Word Problems -> SOLUTION: The cost C and the revenue R for a brokerage firm depend on the number T of transactions executed. Both C and R are measured in dollars. It costs $750 per day to keep the office       Log On


   

Question 1155020: The cost C and the revenue R for a brokerage firm depend on the number T of transactions executed. Both C and R are measured in dollars. It costs $750 per day to keep the office open. Brokers are paid an average of $25 per transaction. $35 in fees are collected for each transaction.
a. Find a formula that gives C as a function of T.

b. Find a formula that gives R as a function of T.

c. Find the number of daily transactions that are needed to make the revenue $1500 more than the cost.
Answer by Theo(13342) About Me  (Show Source):
You can put this solution on YOUR website!
C = 750 + 25 * T
R = 35 * T
R = C + 1500
35 * T = 750 + 25 * T + 1500
combine like terms to get:
35 * T = 2250 + 25 * T
subtract 25 * T from both sides of the equation to get:
10 * T = 2250
solve for T to get:
T = 225
the revenue should be 1500 more than the cost at 225 transactions.
R = 35 * 225 = 7875
C = 750 + 25 * 225 = 6375
7875 - 6375 = 1500
solution is 225 transactions to make the revenue 1500 more than the cost.