The fixed costs of operating a business are the costs incurred regardless of the level of production.

Question:

The fixed costs of operating a business are the costs incurred regardless of the level of production. Fixed costs include rent, fixed salaries, and costs of leasing machinery. The variable costs of operating a business are the costs that change with the level of output. Variable costs include raw materials, hourly wages, and electricity. Suppose that a manufacturer of jeans has fixed daily costs of $1200 and variable costs of $20 for each pair of jeans manufactured. Write a linear equation that relates the daily cost C, in dollars, of manufacturing the jeans to the number x of jeans manufactured. What is the cost of manufacturing 400 pairs of jeans? 740 pairs?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  answer-question

College Algebra

ISBN: 9780135226865

11th Edition

Authors: Michael Sullivan, Michael Sullivan III

Question Posted: