More Finite Math help

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January 25th 2009, 04:41 PM
johnewton

More Finite Math help

Okay so I stumbled upon this question and I think I may be on the right track but request backup.. :)

A store handles a specialty item that has a marginal cost of $24 and a fixed cost of $360. The sales required to break even are 75 items.

A) Find the linear cost function
My answer was --> c(x) = 24+360

B) Find the linear revenue function
My answer was --> R(x) = px -->R(x) = 384x

Does this look correct?
January 25th 2009, 05:30 PM
Jhevon

Quote:

Originally Posted by johnewton

Okay so I stumbled upon this question and I think I may be on the right track but request backup.. :)

A store handles a specialty item that has a marginal cost of $24 and a fixed cost of $360. The sales required to break even are 75 items.

A) Find the linear cost function
My answer was --> c(x) = 24+360

nope, it should be 24x + 360

Quote:

B) Find the linear revenue function
My answer was --> R(x) = px -->R(x) = 384x

Thank you math scholars!! (Rock)

nope.

break even means $C(x) = R(x)$

so, the problem says $C(75) = R(75)$

now, $C(75) = 2160$ , and $R(x) = ax \implies R(75) = 75a$

now, set up the equation to solve for $a$ , then you can find your revenue funciton
January 25th 2009, 05:31 PM
skeeter

Quote:

Originally Posted by johnewton

Okay so I stumbled upon this question and I think I may be on the right track but request backup.. :)

A store handles a specialty item that has a marginal cost of $24 and a fixed cost of $360. The sales required to break even are 75 items.

A) Find the linear cost function
My answer was --> c(x) = 24x+360

did you forget the x ?

B) Find the linear revenue function
My answer was --> R(x) = px -->R(x) = 384x

R(x) = C(x) at the break even point

p = selling price

75p = 24(75) + 360

p = 28.80

R(x) = px = 28.80x

ok?
January 25th 2009, 05:33 PM
johnewton

I

thank you for the help!!
January 25th 2009, 05:39 PM
johnewton

Got it

to solve for "A" you just divide 2160 by 75 which gives you 28.80. I love this website! Thank you Jhevon and Skeeter!
January 25th 2009, 05:44 PM
Jhevon

Quote:

Originally Posted by johnewton

to solve for "A" you just divide 2160 by 75 which gives you 28.80.

yup, just as skeeter did

Quote:

I love this website!

....um, we...love you too?? ...ok, that was awkward

Quote:

Thank you Jhevon and Skeeter!

you're welcome (Sun)

take care (Hi)
January 25th 2009, 05:48 PM
johnewton

Umm yeah

it was, my bad LOL