Determine the total charge under each plan

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Reference no: EM132179753

Please help with this one! Explanation would help, none have been easy to follow A real estate agent is considering changing her cell phone plan. There are three plans to choose from, all of which involve a monthly service charge of $20. Plan A has a cost of $.37 a minute for daytime calls and $.16 a minute for evening calls. Plan B has a charge of $.46 a minute for daytime calls and $.14 a minute for evening calls. Plan C has a flat rate of $75 with 300 minutes of calls allowed per month and a charge of $.34 per minute beyond that, day or evening.

a. Determine the total charge under each plan for this case: 130 minutes of day calls and 50 minutes of evening calls in a month.

Cost for Plan A= Cost for Plan B= Cost for Plan C=

b. If the agent will use the service for daytime calls, over what range of call minutes will each plan be optimal? Plan A is optimal from zero to___ minutes. Plan C is optimal from ___ minutes onward.

c. Suppose that the agent expects both daytime and evening calls. At what point (i.e., percentage of total call minutes used for daytime calls) would she be indifferent between plans A and B?

Point ___percent daytime minutes

Reference no: EM132179753

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