Question

You purchase a music store for $115,000. The estimated monthly revenue is $5500 and you expect monthly costs are $3200. Let R represent revenue during the first t months . Write a linear model for R

Answer 1

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Answer:

  R = 5500t

Step-by-step explanation:

The estimated monthly revenue is said to be 5500 per month. Then for t months, the revenue R will be ...

  R = 5500t

_____

Additional comment

We expect costs to be C = 3200t, so profit is ...

  P = R -C

  P = 5500t -3200t

  P = 2300t

At that rate, it will be 50 months before enough profit is earned to pay for the initial cost of the store.