Can anyone help me solve these problem listed below?

Question

The cost of producing a number of items x is given by: C = mx + b

In which b is the fixed cost and m is the variable cost (the cost of producing one more item).

The revenue for a sandwich shop is directly proportional to its advertising budget. When the owner spent $2000 a month on advertising, the revenue was $120,000. If the revenue is now $180,000, how much is the owner spending on advertising?



(a)If the fixed cost is $40 and the variable cost is $10, write the cost equation

(b)Graph the cost equation

(c)The revenue generated from the sale of x items is given by: R = 50x. Graph the revenue equation on the same set of axes as the cost equation.

(d)How many items must be produced for the revenue to equal the cost (the break-even point)?

Answer 1

a) Since the cost equation is C = mx + b, where

m: variable cost (10) and

b: fixed cost (40),

C = 10x + 40

b) Place a point at (0, 40) and another point at either (1, 50), and draw a straight line through those two points.

c) Place a point at (0,0) and another point at (1, 50).

d) You could either find this graphically (the lines intersect at (1,50) or you could find this algebraically.

The break-even point is when:

the cost equation = the revenue equation

C = R

10x + 40 = 50x

40 = 40x

x = 1

So one (1) item must be produced for the revenue to equal the cost.

Answer 2

sorry