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The revenue for selling a units of a product is R = 40x. The cost of producing x units is C = 20 + 7700.In order to obtain a profit, the revenue must be higher than the cost, so we want to know, for what values of a will this product return a profit.To obtain a profit, the number of units must be greater than _____

The revenue for selling a units of a product is R = 40x. The cost of producing x units-example-1
User Lxgr
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1 Answer

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Step-by-step explanation:

We are given the revenue function and the cost function for x units of a product as follows;


\begin{gathered} Revenue=40x \\ Cost=20x+7700 \end{gathered}

We are also told that to obtain a profit, the revenue must be higher than the cost. This means;


\begin{gathered} Profit: \\ R(x)>C(x) \end{gathered}

To determine which unit(s) of x will yield a profit, we can now substitute the values into the equation above;


\begin{gathered} Profit: \\ 40x>20x+7700 \end{gathered}
\begin{gathered} Profit: \\ 40x-20x>7700 \end{gathered}


\begin{gathered} Profit: \\ 20x>7700 \end{gathered}

Divide both sides by 20;


(20x)/(20)>(7700)/(20)


x>385

For this answer, we know that to make a profit, the units produced must be greater than 385 units.

ANSWER:

To obtain a profit the number of units must be greater than 385

User Bart Roozendaal
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