Question 1 of 5
A small business models its monthly profit, in dollars, from selling a new product by the function , where is the number of units sold that month. According to the model, for which numbers of units sold will the business break even, meaning the profit is dollars?
Explanation
To find when the business breaks even, set the profit equal to :
Divide both sides by :
Now factor:
So the solutions are and . That means the business breaks even when it sells units or units.
Concept summary
In a real-world quadratic model, break-even points are the -values where the function equals . Set the quadratic expression equal to and solve.