A company is planning to manufacture a certain product. The fixed costs will be $474778 and it will

Discussion in 'Calculator Requests' started by math_celebrity, Sep 5, 2020.

  1. math_celebrity

    math_celebrity Administrator Staff Member

    A company is planning to manufacture a certain product. The fixed costs will be $474778 and it will cost $293 to produce each product. Each will be sold for $820. Find a linear function for the profit, P , in terms of units sold, x .

    Set up the cost function C(x):
    C(x) = Cost per product * x + Fixed Costs
    C(x) = 293x + 474778

    Set up the Revenue function R(x):
    R(x) = Sale Price * x
    R(x) = 820x

    Set up the Profit Function P(x):
    P(x) = Revenue - Cost
    P(x) = R(x) - C(x)
    P(x) = 820x - (293x + 474778)
    P(x) = 820x - 293x - 474778
    P(x) = 527x - 474778
     

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