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Company A manufactures and sells gidgets. The owners have determined that the company has the monthly revenue and cost functions shown, such that x represents the number of gidgets sold.

R(x) = 16x
C(x) = 12x + 1,424

At what number of gidgets sold will the company break-even (the point where revenue equals cost)?

A.
356 gidgets
B.
119 gidgets
C.
480 gidgets
D.
51 gidgets

Respuesta :

calculista

Answer:

Option A.  356 gidgets

Step-by-step explanation:

we have

R(x) ----> the monthly revenue function

C(x) ---> the monthly cost function

x ----> the number of gidgets sold

[tex]R(x)=16x[/tex]

[tex]C(x)=12x+1,424[/tex]

we know that

Break-even means that the revenue equals cost

so

[tex]16x=12x+1,424[/tex]

solve for x

[tex]16x-12x=1,424[/tex]

[tex]4x=1,424[/tex]

[tex]x=356\ gidgets[/tex]

Answer:

a

Step-by-step explanation:

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