Question

7 line tshirt company manufactures t-shirts and sells them online.The company has a model where the cost C, in dollars to make x t-shorts is given by the equation C=40/30x + 20 and the revenu R, in dollars , made by selling x t-shirts is given by R=15x. The break even point is where revenue equations intersect.
How many t shirts must the company sell to break even?

Answer 1

Answer:

The company must sell at least 2 shirts to break even.

Step-by-step explanation:

Cost:

The cost is given by the following equation:

$C = \frac{40}{30x+20} + 20 = \frac{4x}{3} + 20$

Revenue:

The revenue is given by the following equation:

$R = 15x$

How many t shirts must the company sell to break even?

Breakeven point is when the revenue is the same as the costs. So

$\frac{4x}{3} + 20 = 15x$

$15x - \frac{4x}{3} = 20$

$\frac{45x}{3} - \frac{4x}{3} = 20$

Multiplying everything by 3

$45x - 4x = 60$

$41x = 60$

$x = \frac{60}{41} = 1,...$

Since you cant make a decimal value of shirts

The company must sell at least 2 shirts to break even.

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