Ask Question
BusinessBusiness
20 July, 21:54

A company distributes college logo sweatshirts and sells them for $55 each. The total cost function is linear, and the total cost for 50 sweatshirts is $4346, whereas the total cost for 240 sweatshirts is $7576. (a) Write the equation for the revenue function R (x).

+5
Answers (1)
  1. 20 July, 23:36
    0
    The revenue equation is TR=55*P

    Total cost equation is TC=3496+17Q

    Explanation:

    The formula for revenue is given quantity multiplied by price

    TR=PQ

    P is the price per unit ]

    Q is the total quantity

    since P is $55

    TR=55P

    The total cost function can also be determined thus:

    TC = a+bQ

    where a is the fixed cost

    b is variable cost per unit

    Q is the number of output

    when TC is $4346, Q was 50

    when TC was $7576 Q was 240

    7576=a+240b

    4346=a+50b

    subtracting the two equations

    3230 = 190b

    b=3230/190

    b=$17

    by substituting b in any of the equations, fixed cost can be determined

    4346=a + (17*50)

    4346=a+850

    a=4346-850

    a=3496

    Total cost function

    TC=3496+17Q
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “A company distributes college logo sweatshirts and sells them for $55 each. The total cost function is linear, and the total cost for 50 ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers
You Might be Interested in
Edward philips signs a deed allowing the utility company to suspend power lines over his land. a utility company's right to use edward's land for suspending power lines is called a (n) :
Answers (1)
You work part time in a telemarketing company. Your compensation is based on the number of credit card applicants you sign up.
Answers (1)
How many ways can an irs auditor select 6 of 13 tax returns for an audit?
Answers (1)
Who was the president during the great depression?
Answers (1)
Which formula best describes the amount an insurance company will pay you for your loss? a) Payment = Loss - Deductible b) Payment = Loss + Deductible c) Payment = Loss x Deductible d) Payment = Loss / Deductible
Answers (1)
New Questions in Business
Bonita Industries had the following information at December 31: Finished goods inventory, January 1 $ 70000 Finished goods inventory, December 31 150000 If the cost of goods manufactured during the year amounted to $2200000 and annual sales were
Answers (1)
Refer to table 17-14. which outcome is the nash equilibrium in this game?
Answers (1)
Which of the following will cause a movement along the supply curve? Group of answer choices An increase or decrease in the raw materials costs. A change in the market price of a good, other things held constant. An increase in labor costs.
Answers (1)
A firm has 56 units of product X on hand. Forecasts of demand are for 20 units per week. An MPS quantity of 100 units is planned to arrive in period 3. Customer orders are 24 for period 1,18 for period 2, and 15 for period 3.
Answers (1)
Your aunt is about to retire, and she wants to sell some of her stock and buy an annuity that will provide her with income of $53,000 per year for 30 years, beginning a year from today. The going rate on such annuities is 7.25%.
Answers (1)
Home » Business » A company distributes college logo sweatshirts and sells them for $55 each. The total cost function is linear, and the total cost for 50 sweatshirts is $4346, whereas the total cost for 240 sweatshirts is $7576.
Sign Up Forgot Password?