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2 answers:
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Answer:
850
Step-by-step explanation:
Current profit per year = $ 20
Number of subscribers = 3000
For each additional subscriber over 3000, the profit will increase by 1 cent or by $ 0.01. For example, for 3001 (3000 + 1) subscribers, the profit will be $ 20.01 per year. Similarly, for 3002 (3000 + 2) subscribers, the profit will be $20.02 per year and so on.
So, for x additional subscribers over 3000, the profit will increase by 0.01(x). i.e. for (3000 + x) subscribers, the profit will be $(20 + 0.01x)
Since, profit per each subscriber is $(20 + 0.01x), the profit for (3000 + x) subscribers will be:
Total profit = Number of subscribers x Profit per each subscriber
Total profit = (3000 + x)(20 + 0.01x)
We want to calculate how many subscribers will be needed to bring a profit of $109,725. So, we replace Total profit by $109,725. The equation now becomes:
Using quadratic formula, we can solve this equation as:
x = -5850 is not a possible solution as this would make the total number of subscribers to be negative. So we reject this value.
Therefore, the answer to this question is 850. 850 more subscribers are needed to being a total profit of $109,725