Plans for different levels of texting


Question: You are on a tight budget and need to decide between the following 3 texting plans:

Plan A: Pay $0.10 per text

Plan B: Pay a fixed monthly fee of $15 for up to 500 texts per month and $0.08 for each text over the 500.

Plan C: Pay a fixed monthly fee of $25 for up to 1,000 texts per month and $0.05 for each text over the 1,000.

Requirements

a) Draw a graph of the total monthly cost of the three plans for different levels of texting.

b) Which plan should you choose if you expect to make:

-- 240 texts per month?
-- 780 texts per month?
-- 1,250 texts per month?

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Accounting Basics: Plans for different levels of texting
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