A division of Chapman Corporation manufactures a pager. The weekly fixed cost fo

Question

A division of Chapman Corporation manufactures a pager. The weekly fixed cost for the division is $17,000, and the variable cost for producing x pagers/week in dollars is represented by the function V(x).

The company realizes a revenue in dollars from the sale of x pagers/week represented by the function R(x).

(a) Find the total cost function C.
C(x) =  

(b) Find the total profit function P.
P(x) =  

(c) What is the profit for the company if 1,900 units are produced and sold each week?
$

Explanation / Answer

A. find the total cost function:

Total Cost + fixed cost + variable cost = $17,000 + 0.000001x3-0.01x2 +50x

B. find the total profit function

Profit = Revenue - Total Cost + R(x) - V(x)

= -17,000 + (-0.02x2+150x) - (0.000001x3-0.01x2+50x)

= - 0.000001x3 - 0.01x2 + 100x - 17,000

C. profit for the company if 1900 units are produced and sold each week

= - 0.000001(1900)3 - 0.01(1900)2 + 100(1900) - 17,000

= -6859 - 36100 + 190000 - 17000

= $130,041

Related Questions

Navigate

• Browse (All)
• Browse A
• Subjects

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.