The revenue function for a real estate agency is based on a percentage of the amount of monthly sales made by agents. The cost function for the agency is based on the commissions, paid to the agent plus the fixed monthly costs. both functions are shown below where X is the dollar amount of the monthly sales made by agents.
• Revenue function: f (x) = 0.03
• Cost function: g (x) = 0.015x + 4,600
The agency will break, even when the revenue function is equal to the cost function. For the agency to break even, what amount of monthly transactions, in dollars, must be generated by its agents?
• Between $0 and $2000
• Between $4,500 and $4,700
• Between $153,000 and $155,000
• Between $305,000 and $307,000