1. A tire Company determines that to manufacture a certain type of tire, it cost

Question

1. A tire Company determines that to manufacture a certain type of tire, it costs $8000 to set up the production process. Each tire that is produced costs $22 in material and labor. The Company sells this tire to wholesale distributors for $49 each.

Find a linear function C that models the total cost C(x) of producing x tires.

Find a linear Function R that models the revenue R(x) from selling x tires.

Find a linear function P that models the profit P(x) from selling x tires.

How many tires must the Company sell to break even (that is, when doe

Find the point at which the graphs of the two linear equations intersect.

a. Y=2+x   ;     Y= 4/3 + 3

Explanation / Answer

1) let x is the number of tires produced

C(x) = 22x + 8000

Revenue function is

R(x) = 49x

profit = revenue - cost

P(x) = 49x - ( 22x + 8000 )

P(x) = 27x - 8000

breakeven occurs when revenue = cost

49x = 22x + 8000

27 x = 8000

x = 8000/27 = 296.29

so company must sell 296 tires approximately to breakeven

2)  

a y = 2+x

y = 4/3 x + 3

2 + x = 4/3 x + 3

x = -3

y = 2 - 3

y = -1

intersection point is ( -3 , -1 )

Related Questions

Navigate

• Browse (All)
• Browse 1
• Subjects

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