Calculus with Applications (10th Edition)

Published by Pearson
ISBN 10: 0321749006
ISBN 13: 978-0-32174-900-0

Chapter 1 - Linear Functions - 1.2 Linear Functions and Applications - 1.2 Exercises - Page 24: 33

Answer

a) $ C(x)=3.5x+90$ b) $17$ c) $108$

Work Step by Step

a) Marginal cost = $3.5$ dollar/T-shirt Selling Price = $9$ dollar/T-shirt let the cost function $C(x)$ be $C(x)=ax+b$ where $a=3.5$ It is given that the total cost for producing $60$ T-shirts is $300$. i.e. when $x=60, C(x)=300$ $300=(3.5\times60)+b\implies b=90$ Therefore, $C(x)=3.5x + 90$ b) She sells T-shirts for dollar $9$ each. $S(x)=9x$ Break even means she doesn't profit anything at all, i.e. Profit = $S(x)-C(x)=0$. $S(x)=C(x)$ $9x=3.5x+90$ $x=16.36\approx 17$ She must produce and sell $17$ T-shirts. c) Profit =$500$ dollars $S(x)-C(x)=500$ $9x-3.5x-90=500$ $5.5x=590$ $x=107.27\approx 108$ She must produce and sell $108$ T-shirts to make a profit of $500$ dollars.
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