Question

A medical insurance company offers two​ prescription-drug insurance plans. With plan​ 1, James would pay the first ​$150 of his prescription costs and 50​% of all costs after that. With plan​ 2, James would pay the first ​$280 of​ costs, but only ​20% of the rest. For what amount of prescription costs will plan 2 save James​ money? (Assume that his prescription costs exceed ​$280​.) mostly need help on how to do the problem

Answer 1

Answer:

when expenses are greater than $433.33

Step-by-step explanation:

set up equations for each plan

let 'x' = prescription costs

Plan 1:  y = 150 + .5x

Plan 2:  y = 280 + .2x

150 + .5x = 280 + .2x

.5x = 130 + .2x

.3x = 130

x = 433.33

i checked my answer by graphing each equation and $433.33 is the break-even point where each plan would have the same costs but, after that, the expenses for Plan B are less