Write a cost function for the problem. Assume that the relationship is linear.
-Marginal cost, $130; 80 items cost $11,500 to produce

A) $ C(x)=14 x+1100 $
B) $ C(x)=14 x+11,500 $
C) $ C(x)=130 x+11,500 $
D) $ C(x)=130 x+1100 $

Question

Write a cost function for the problem. Assume that the relationship is linear.
-Marginal cost, $130; 80 items cost $11,500 to produce

A) $ C(x)=14 x+1100 $
B) $ C(x)=14 x+11,500 $
C) $ C(x)=130 x+11,500 $
D) $ C(x)=130 x+1100 $

Quizplus · Accepted Answer

Marginal cost is the cost of producing one more item. In this case, the marginal cost is $130. The total cost of producing 80 items is $11,500. So, the fixed cost is $11,500 - (80 * $130) = $1100. Therefore, the cost function is C(x) = 130x + 1100.

Write a Cost Function for the Problem C(x)=14x+1100 C(x)=14 x+1100 C(x)=14x+1100

Write a Cost Function for the Problem $C(x)=14 x+1100$