A delivery service is buying 600 tires for its fleet of vehicles. One supplier offers to supply the tires for $ 80 per tire, pa
1 answer:
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Answer:
The total monthly cost C(x) incurred by Carlota in manufacturing x guitars/month is <u>C(x) = 0.004x^2 + 90x + 8,500</u>.
Explanation:
Given,
C '(x) = 0.008x + 90 ................................... (1)
To obtain the the total monthly cost C(x) incurred by Carlota in manufacturing x guitars/month, we obtain the integral of equation (1) as follows:
C(x) = (0.008 / 2) x^2 + 90x + F
C(x) = 0.004x^2 + 90x + F .......................... (2)
Where F is the constant.
Since total cost is the addition of the total cost and total variable cost, the F in equation (2) represents the total fixed cost per month.
Since the fixed costs incurred by Carlota are $8500/month, this implies that F = 8,500.
Substituting F = 8,500 into equation (2), we have:
C(x) = 0.004x^2 + 90x + 8,500 <-------------- Total cost per month
Therefore, the total monthly cost C(x) incurred by Carlota in manufacturing x guitars/month is <u>C(x) = 0.004x^2 + 90x + 8,500</u>.
Answer:
Considering the allocate fixed cost, it would not be a good option.
It will generate a financial disadvantage of 22,950
Explanation:
Fixed overhead; 38 x 1800 = 68,400
There is a portion of 35,550 fixed cost which is tracable to the real wheel assembly line thus, will be eliminated.
But 32,850 would not.
Considering this, it would not be a good option to stop the assembly line and purchase the component