Linear Cost Function
Linear Cost Function
Dec 14, 2015
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Values of a linear cost function are in Table 1.27. What are th... | Filo
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Cost Function The simplest cost function is the linear cost function, C(x)=m x b, where the y -intercept b represents the fixed costs of operating a business and the slope m represents the cost of each item produced. Suppose that a small bicycle manufacturer has daily fixed costs of 1800, and each bicycle costs 90 dollars to manufacture. (a) Write a linear model that expresses the cost C of manufacturing x bicycles in a day. (b) Graph the model. (c) What is the cost of manufacturing 14 bicycles
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