Alfred has plotted revenue and cost graphs for his pastry business. He's testing a number of cost assumptions against his business's revenue. Revenue Graph
Cost Graph
+25,000
y у
+1,500
+20,000
+15,000
Revenue (dollars)
-750
-10,000
+5,000
10
20
25
100
50 75
Price per Pastry
Price
Which two statements correctly interpret the graphs?
Cost falls and revenue rises up to approximately $6 per pastry.
After approximately $6, both cost and revenue fall.
O O O O O
Costs continue to fall beyond approximately $6 because of an increase in revenue.
Revenue continues to rise regardless of the change in price.
Revenue falls and cost rises up to approximately $17.
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