Question

The cost and revenue functions for a frozen yogurt shop are as follows:

C(x)= 400x+400/x+4 and R(x) =100x

What is the break even point?
If the profit is P(x) then does P (1) and P(4) represent a profit or loss?

PLEASE HELP

Answer 1

P(x) = R(x) - C(x)
P(x) = -300x + 400/x + 4
Break even point is when P(x) = 0
0 = -300x + 400/x + 4
300x^2 = (400+4x)
300x^2 -4x - 400 = 0
divide by 4
75x^2 - x - 100 = 0
use quadratic formula
x = (1 +- sqrt(30001)) / 150
x = 1.16, disregard neg answer (can't sell neg amount of product)

Answer 2

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