Expert: Paul Klarreich - 12/17/2009

Question
Need help.

A store can purchase T-shirts for $7 each. It has a fixed cost of $2,500.Each T-shirt is sold for $18.

1.Write a linear equation for both cost and revenue.
2.Graph both the cost line and the revenue line.
3.Determine the break-even point.
4.If the store wants to make a profit of $2,000, how many T-shirts must it sell?

Answer
Questioner: KJ
Country: United States
Category: Advanced Math
Private: Yes
Subject: Interdisciplinary Application
Question: Need help.

A store can purchase T-shirts for $7 each. It has a fixed cost of $2,500.Each T-shirt is sold for $18.

1.Write a linear equation for both cost and revenue.
2.Graph both the cost line and the revenue line.
3.Determine the break-even point.
4.If the store wants to make a profit of $2,000, how many T-shirts must it sell?
..........................................

Why not start with:

Let  N = the number of shirts bought and sold.
    C = the total cost of the N shirts, including the fixed cost.
    R = the revenue for N shirts.
    P = the profit, which should just be.... you figure that.

Then write:

C = some function of N, taking into account the cost/shirt and fixed cost.
R = revenue for .. oh, yes, we said that already.

You should be able to handle that.  If you are stuck, let me know what you did and we'll go from there.