Question

What formula would i use to get the answer to this question ?
A musician is planning to market a CD. The fixed costs are $980 and the variable costs are $4 per CD. The wholesale price of the CD will be $11. For the artist to make a profit, revenues must be greater than costs.
How many CDs, x, must be sold for the musician to make a profit?

Answer 1

What is the relation between benefit and revenue?

Answer 2

@aanders Can you reply?

Answer 3

definition wise?

Answer 4

\[ (11 x-(980 + 4 x ))>0 \implies x>140\]

Hence a minimum of value of x to make a profit is 141.

Answer 5

or in other words 141 CDS must be sold for the musician to make a profit

Answer 6

Got it?

Answer 7

yes thank you

Answer 8

Well done!

Answer 9

The cost for the production of x CDs is given by the equation c(x)=980+4*x
The money gathered by selling x CDs in given by w(x) = 11*x

we know that profit is the wholesale price minus the production cost, or mathematically:
p(x) = w(x) - c(x)

so, when profit is zero, we get the minimum amount of CDs to avoid loss.

...foolformath beat me to it

Answer 10

thank you both though for the explanations!