ExplanationThe question asks how many bicycles the factory must sell to make a profit. One way of phrasing that is to say the profit must be greater than 0. Since Profit = Revenue – Cost, you can rewrite the equation to say:
Revenue – Cost > 0
Let b equal the number of bicycles sold. Each bike sells for $700, so the total revenue is 700b. The cost is equal to $11,000 plus $300 for every bicycle sold.
(700b) – (11,000 + 300b) > 0
Isolate b on one side of the inequality:
700b – 11,000 + 300b > 0
400b – 11,000 > 0
400b > 11,000
b > 27.5
If b must be greater than 27.5, then the factory needs to sell at least 28 bicycles to make a profit.
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