Which is equivalent to 8.03 X 10^-8
1 answer:
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Answer:
$40
It means that when an infinite number of pages are printed in a month then the fixed cost will be negligible.
Step-by-step explanation:
Given that:
Monthly overhead costs in rent = $1900
Costs in electricity = $450
Costs for phone service = $80
Costs for advertising and marketing = $230
Printing cost per thousand pages = $40
If number of pages printed are thousand then cost of printing for
thousand pages = $40
Average cost to print thousand pages can be given as:
(Total fixed cost + Total cost of printing thousand pages) divided by
Now, it is given that an infinite number of pages are printed in a month, and we have to find the value that average cost would approach to.
Let us solve the above limits.
When
Putting the value in the limits, we get:
Average cost per thousand pages month would approach to
It means that when an infinite number of pages are printed in a month then the fixed cost will be negligible.