Question

An entrepreneur estimates his total profit (total revenue minus total cost) for his proposed company as p(x) = x3 − 4x2 + 5x − 20, where p is in hundreds of dollars and x is number of years the company has been in business. In which year (x) will the entrepreneur break even?

A.
year 1

B.
year 2

C.
year 3

D.
year 4

Answer 1

Answer:

D

Step-by-step explanation:

Break even means the cost equals to the revenue, which means the profit is zero.

x*3-4x*2+5x-20=0

x*2(x-4)+5(x-4)=0

(x-4)(x*2+5)=0

x-4=0

x=4