Answered

Discover the answers you need at Westonci.ca, where experts provide clear and concise information on various topics. Connect with a community of experts ready to provide precise solutions to your questions on our user-friendly Q&A platform. Get precise and detailed answers to your questions from a knowledgeable community of experts on our Q&A platform.

A manufacturer estimates that each unit of a particular commodity can be sold for $3 more than it costs to produce. There is also a fixed cost of $17000 associated with the production.
(A) Express total profit P(x) as a function of the level of production x.
(B) How much profit (or loss) is there when x = 20,000 units are produced? When 5,000 units are produced?

Sagot :

fichoh

The profit made as a function of x ;

  • P(x) = 3x - 17000
  • When x = 20,000 ; P(x) = $43,000
  • x = 5000 ; P(x) = -$2000

Let :

Number of units produced = x

Profit per unit = $3

Fixed cost = $17,000

Total profit made : Revenue - Cost of production

Profit, P(x) = (profit per unit × number of units) - Fixed cost

Profit, P(x) = 3x - 17,000

B.)

When x = 20,000

P(20000) = 3(20000) - 17,000

Profit = 60000 - 17,000

Profit = 43,000

When x = 5000

P(5000) = 3(5000) - 17,000

Profit = 15000 - 17,000

Profit = - 2000

Learn more : https://brainly.com/question/18796573

onyebuchinnaji

The total profit as a function of x is P(x) = 3x - 17,000

(A) The profit is $43,000

(B) The loss is $2,000

The given parameters;

  • fixed cost of production, = $17000
  • number of productions, = x
  • let the cost of each commodity = y
  • projected selling price = y + 3

The following equations will be set up as follows;

Total cost price = 17,000 + x(y)

Total selling price = x(y + 3)

The total profit as a function of x is calculated as;

total Profit = total selling price - total cost price

total Profit = x(y+3) - 17,000 - xy

total Profit = xy + 3x - 17,000 - xy

total Profit = 3x - 17,000

P(x) = 3x - 17,000

(A) The profit or loss when x = 20,000 units are produced;

P(20,000) = 3(20,000) - 17,000

P(20,000) = 60,000 - 17,000

P(20,000) = $43,000

The profit is $43,000

(B) The profit or loss when x = 5,000 units are produced;

P(5,000) = 3(5,000) - 17,000

P(5,000) = 15,000 - 17,000

P(5,000) = - $2,000

The loss is $2,000

Learn more here: https://brainly.com/question/16050054

Thank you for your visit. We're committed to providing you with the best information available. Return anytime for more. We hope you found what you were looking for. Feel free to revisit us for more answers and updated information. Westonci.ca is committed to providing accurate answers. Come back soon for more trustworthy information.