Question

Exxon manufacturing produces chips for computers the cost of producing X chips is given by c(x)=15x + 12000. the company sells each chip for $20 based on the given information what is the fixed cost of producing the chips?

Answer 1

 For this case we have the following equation:
 $c (x) = 15x + 12000$
 Where,
 x: number of chips
 c (x): total cost
 To find the fixed cost, we must find the intersection with the y axis of the given equation.
 So we have that for x = 0:
 $c (0) = 15 (0) + 12000 c (0) = 12000$
 Therefore, the fixed production cost is given by:
 $c (0) = 12000$
 Answer:
 The fixed cost of producing the chips is:
 c (0) = 12000

Answer 2

Answer:

The given equation is c(x)=15x + 12000. Also given is that the company sells each chip for $20

Here, 'x' is the number of chips  and c(x) is the total cost .

To find the fixed cost, we will put x=0 to find the intersection with y-axis.

Now, putting x=0 in the given equation, we get

c(0)=15(0)+12000

c(0)=12000

Hence, the fixed cost for producing the chips is c(0) = 12000.