For the month of June, a music supply company is promoting the launch of its electronic music club by offering new members two options for downloading music. Option #1: Annual club membership at a fee of $125 per year plus an option of prepaying for unlimited music downloads at a rate of $10 per month.
Option #2: Annual club membership at a fee of $50 per year plus an option of prepaying for music downloads at a rate of $1 per song.
You decide to join the electronic music club for one year, but aren’t sure which membership option is best suited for your music downloading needs. Review both options that the music supply company is offering for its new club members. Use the information provided to respond to the following prompts. When necessary, answer in complete sentences and include all calculations.
Write a function that best models the total cost of club membership plus downloads under option #1.
For membership option #1, calculate the total cost for one year of club membership and prepaid unlimited music downloads.
Write a function that best models the total cost of club membership plus downloads under option #2
Calculate the maximum number of music downloads that you will have with one year of club membership under option #2 for the same annual cost of a membership with unlimited downloads.
Over the past year, you downloaded an average of 14 songs per month. Assuming that for the next year, you continue to download music at the same rate per month, which membership option is most cost effective?