Question

Q#4:

Acme produces widgets. They have fixed monthly expenses of $1200 and also have variable expenses of $12 for each widget. Acme sells each widget for $24.

A) find cost function

B) Revenue function

C) Profit function.

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Answer 1

Cost Function:
`Cost = 1200 + 12x`

Where x is the number of widget sold.

Revenue Function:
`Revenue = 24x`

Profit Function:
`Profit = 24x - (1200 + 12x)`