A small bicycle manufacturer has daily fixed costs of $1800 and each bicycle costs $90 to manufacture. What is the function of the cost to manufacture x bicycles C(x). Graph C(x). What is the manufacturing cost of 14 bicycles and how many can be made with $3780.
The fixed cost of manufacturing the bicycles is equal to $1800. The variable cost of manufacturing one bicycle is $90.
The cost of manufacuring bicycles as a function a function C(x) of the number of bicycles manufactured is C(x) = 1800 + 90*x
The graph of the cost function C(x) = 1800 + 90*x is:
The cost of building 14 bicycles in a day is 1800+90*14 = $3060
The number of cycles that can be built with $3780 is x = (3780-1800)/90 = 22