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To earn a profit, the revenue must be greater than the cost. The revenue for selling x units of an item is R = 26.05x. The cost to make x units is C = 1,500 + 16.75x. The owner claims she had a profit today because they made and sold 183 units of the item. Is her claim true?

Yes, because R > C when x = 183.
Yes, because R < C when x = 183.
No, because R > C when x = 183.
No, because R < C when x = 183.

1 Answer

1 vote
The answer is A. because the calculated cost is 4,565.25 and the calculated revenue is 4,767.15. This means that the revenue is greater, so that leaves the owner with a 201.90$ profit.
User Dtbarne
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