an online commercial directory service must decide between composing the ads for its clients inhouse or paying a production company to compose them. to develop the ads in-house, the company will have to purchase computers, printers, and a database management system at an estimated cost of $42,000. this equipment will have a useful life of 3 years, after which it will be sold for $2000. the employee who creates the ads will be paid $55,000 per year. in addition, each ad will have an average cost of $10. alternatively, the company can outsource development at a flat fee of $21 per ad. at an interest rate of 10% per year, how many ads must the company sell each year for the options to just break even?
