Question

The telephone company offers two billing plans for local calls. Plaz 1 charges $21 per month for unlimited calls and Plan 2 charges $18 per month plus $0.04 per

call.
a. Use an inequality to find the number of monthly calls for which Plan 1 is more economical than Plan 2
b. Explain the meaning of the answer to part a.

Answer 1

more than 200 calls

Explanation:

Suppose number of calls = x

According to plan 1: Total monthly charge is $24

According to plan 2: Fix charge is $16 and $0.04 per call

cost of x's call = $0.04x

and monthly charge according to plan 2 = 0.04x + 16

a) Plan 1 is more economical than plan 2.

0.04x + 16 > 24

solve it for x

.04x > 8

x > 200

b) So, if more than 200 calls are made then Plan 1 is more economical.