A company has a fixed cost of $34,000 and a production cost of $6 for each unit it manufactures. A unit sells for $15
Set up the cost function C(u) where u is the number of units is:
C(u) = Cost per unit * u + Fixed Cost
C(u) = 6u + 34000
Set up the revenue function R(u) where u is the number of units is:
R(u) = Sale price per unit * u
R(u) = 15u
Set up the cost function C(u) where u is the number of units is:
C(u) = Cost per unit * u + Fixed Cost
C(u) = 6u + 34000
Set up the revenue function R(u) where u is the number of units is:
R(u) = Sale price per unit * u
R(u) = 15u