Question

A company that manufactures widgets has fixed costs of $6,338.00 each month and a cost of $2.84 for each widget it produces. Which of the following equations could be used to determine the total production costs for the company if it produced x widgets last month?

(Let x represent the number of widgets the factory produced last month and y represent the total production costs for the factory.)

Answer 1

the total production costs are the sum of the fixed costs and the cost of the number of widgets produced.

number of widgets = 2.84x

y = 6.338 + 2.84x