Question

ACTUAL EXPLANATIONS ONLY PLEASE // You project revenue to start at $5,000 for the first month and grow by $200 each month thereafter. You project expenses
to begin at $7,000 per month and grow by $50 per month. In what month will you break even (revenue equal to expenses)?

Answer 1

Answer:

13.33

Explanation:

We have to write 2 equations to set equal to each other.

The first one will look like this:

200x + 5,000

The x will go with the 200 because the project revenue grows by $200 each month thereafter the start of $5,000.

The second equation will look like this:

50x + 7,000

The project begins at $7,000 and grows by $50 every month so the x will go with the 50.

Now, set them equal to each other

200x + 5,000 = 50x + 7,000

Solve

150x + 5,000 = 7,000

150x = 2,000

x = 13.333

Therefore, in the thirteenth month the project will breakeven.

Hope this helps!!

- Kay :)