The manufacturer of computers spends $500 to make each computer and sells them for 800. The manufacturer also has fixed costs ea ch month of $5700. Find the cost function C when x computers are manufactured.
2 answers:
Answer:
C(x)=500x+5700.
Step-by-step explanation:
he general Cost function formula is given by
C(x)=cost per unit⋅x+fixed costs.
The manufacturer has fixed costs of $5700 no matter how many computers it produces. In addition to the fixed costs, the manufacturer also spends $500 to produce each computer. If we substitute these values into the general cost function, we find that the cost function when x computers are manufactured is given by
C(x)=500x+5700.
Answer:
C(x) = 5700 + 500x
Step-by-step explanation:
Total cost = fixed cost + variable cost
Fixed cost are cost that do not change in the process of production such as machineries, furnitures & fittings.
Variable cost are cost that changes with production such as cost of raw material, cost of labor.
From the question:
Fixed cost= $5,700
Cost per unit of computer = $500
If x number of computers are produced in a month
Variable cost = 500x
Total cost = fixed cost + variable cost
C(x) = 5700 + 500x
Where,
C(x) = total cost
5700= fixed cost
500x= variable cost
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