Suppose a new MyPhone cellphone costs $650, and depreciates in value by $30 per month.

Question

Question

Suppose a new MyPhone cellphone costs $650, and depreciates in value by $30 per month.

Suppose a new MyPhone cellphone costs $650, and depreciates in value by $30 per month. A new Cyborg phone costs $580, and depreciates in value by $25 per month.

(a) Let M(x) be the value of a MyPhone r months after it was purchased, and let C(x) be the value of a Cyborg a months after it was purchased. Write formulas for M(x) and C(x).

(b) If Carrie and Miranda buy phones at the same time, Carrie buying the Cyborg and Miranda buying the MyPhone, when will their phones have the same value?

(c) After how many months are each of the phones worth nothing?

math Advanced-Math

Add a comment Improve this question Transcribed image text

Answer 1

Answer #1

W M - 650 - 30x CO) - 580-25% 6) M(x) =C(x) 650 -30%= 580-25% 70= 5x * x = 14 months c M(x) = 0 = 650-30x=0 > x= 650 - 21-67

$\blacksquare$

Hope this was helpful. Please do leave a positive rating if you liked this answer. Thanks and have a good day!

Add a comment

Answer 2

Similar Homework Help Questions

6.3.6 Suppose that a cellular phone costs $30 per month with 300 minutes of use included...

6.3.6 Suppose that a cellular phone costs $30 per month with 300 minutes of use included and that each additional minute of use costs $0.50. The number of minutes you use the phone in a month is an exponential random variable T with with expected value E[T] = 200 minutes. The telephone ompany charges you for exactly how many minutes you use without any rounding of fractional minutes. Let C denote the cost in dollars of one month of service....
A new truck costs $32000. The truck's value depreciates over time which means it loses value

A new truck costs $32000. The truck's value depreciates over time which means it loses value. For tax purposes depreciation is calculated linearly. So V (current value) is equal to the P (original price) -n (years) times x (depreciation value). V = P- nx.f t Ihe truck is worth $24,500 after three years find the depreciation value constant x. Now use that to write a formula write a general formula for the value (V) after n years. Your equation will only...
Muddy Fields Earthmoving can buy a bulldozer for $30,000. If lease payments are $1000 per month...

Muddy Fields Earthmoving can buy a bulldozer for $30,000. If lease payments are $1000 per month for 36 months, what is the IRR for the lease? Lease payments occur at the beginning of each month. If the bulldozer is purchased, then it would have a salvage value of $5000 after 3 years. The operating costs can be ignored, because they are the same for both leasing and buying.

Huawei has spent ¥1.5B in R&D and is ready to launch the first foldable cellphone Mate...

Huawei has spent ¥1.5B in R&D and is ready to launch the first foldable cellphone Mate X. However, they are not sure about whether consumers will like their new phones. They can choose to launch the product at year 0 or year 1. The costs of production will be the same whether they enter the market in year 0 or year 1. The life of Mate X will be 2 years in either case. The relevant cash flow information is...
4. Huawei has spent ¥1.5B in R&D and is ready to launch the first foldable cellphone...

4. Huawei has spent ¥1.5B in R&D and is ready to launch the first foldable cellphone Mate X. However, they are not sure about whether consumers will like their new phones. They can choose to launch the product at year 0 or year 1. The costs of production will be the same whether they enter the market in year 0 or year 1. The life of Mate X will be 2 years in either case. The relevant cash flow information...
Pear Inc. is introducing a new smart phone, xPhone. The cost ofxPhone is $200 per...

Pear Inc. is introducing a new smart phone, xPhone. The cost of xPhone is $200 per phone. There are six millions of potential customers who are interested in buying xPhone. The two million Pear fans each have a value of $600 for the new phone. Their value for the new phone drops by $200 per 6 months they wait. The two million regular Pear customers each have a value of $500 for the new phone, and their values drops by...

A manufacturer of widgets has fixed costs of $1200 per month, and the variable cost is...

A manufacturer of widgets has fixed costs of $1200 per month, and the variable cost is $49 per widget (so it costs $49 to produce 1 widget). Let N be the number of widgets produced in a month. (a) Find a formula for the manufacturer's total cost C as a function of N. C(N) - 49N+1200 (b) The highest price p, in dollars, of a widget at which N widgets can be sold is given by the formula p =...
Part 7 Big Al’s currently leases its equipment from Pizza Products for $2,500 per month. Two...

Part 7 Big Al’s currently leases its equipment from Pizza Products for $2,500 per month. Two years of the five-year lease term remain. Big Al’s can terminate the lease at any time by paying a penalty of $10,000. Big Al’s is considering purchasing equipment to replace the leased equipment. Big Al’s must purchase 10 units of each piece of equipment. Big Al’s can purchase equipment at the following prices: Equipment Price (per unit) Dough ball press $5,450 Assembly table 2,100...
A company manufactures product X which it sells for $5 per unit. Variable costs of production are currently $3 per unit. A new machine is available which would cost $90,000 but which could be used to make product X for a variable cost of only $2.50 per un

A company manufactures product X which it sells for $5 per unit. Variable costs of production are currently $3 per unit. A new machine is available which would cost $90,000 but which could be used to make product X for a variable cost of only $2.50 per unit. However, when the company decides to invest in this new machine, it would increase its fixed costs by $7,500 a year as a direct result of purchasing the machine. The machine would...

1 Skycell,a major European cell phone manufacturer, is making production plans for the coming yea...

1 Skycell,a major European cell phone manufacturer, is making production plans for the coming year. Skycell has worked with its customers (the service providers) to come up with the forecasts of monthly requirements (in thousands of phones) as shown in the table. Manufacturing is primarily an assembly operation, and capacity is governed by the number of people on the production line. The plant operates for 20 days a month, eight hours each day. One person can assemble a phone every...

Suppose a new MyPhone cellphone costs $650, and depreciates in value by $30 per month.

Homework Answers

Add Answer to:
Suppose a new MyPhone cellphone costs $650, and depreciates in value by $30 per month.

Post as a guest

Earn Coins

6.3.6 Suppose that a cellular phone costs $30 per month with 300 minutes of use included...

A new truck costs $32000. The truck's value depreciates over time which means it loses value

Muddy Fields Earthmoving can buy a bulldozer for $30,000. If lease payments are $1000 per month...

Huawei has spent ¥1.5B in R&D and is ready to launch the first foldable cellphone Mate...

4. Huawei has spent ¥1.5B in R&D and is ready to launch the first foldable cellphone...

Pear Inc. is introducing a new smart phone, xPhone. The cost ofxPhone is $200 per...

A manufacturer of widgets has fixed costs of $1200 per month, and the variable cost is...

Part 7 Big Al’s currently leases its equipment from Pizza Products for $2,500 per month. Two...

A company manufactures product X which it sells for $5 per unit. Variable costs of production are currently $3 per unit. A new machine is available which would cost $90,000 but which could be used to make product X for a variable cost of only $2.50 per un

1 Skycell,a major European cell phone manufacturer, is making production plans for the coming yea...

Suppose a new MyPhone cellphone costs $650, and depreciates in value by $30 per month.

Homework Answers

Add Answer to: Suppose a new MyPhone cellphone costs $650, and depreciates in value by $30 per month.

Post as a guest

Earn Coins

Add Answer to:
Suppose a new MyPhone cellphone costs $650, and depreciates in value by $30 per month.