Question

Exxon manufacturing produces chips for computers the cost of producing X chips is given by c(x)=15x + 12000. the company sells each chip for $20 based on the given information what is the fixed cost of producing the chips?

Answer 1

The given equation is c(x)=15x + 12000. Also given is that the company sells each chip for $20

Here, 'x' is the number of chips and c(x) is the total cost .

To find the fixed cost, we will put x=0 to find the intersection with y-axis.

Now, putting x=0 in the given equation, we get

c(0)=15(0)+12000

c(0)=12000

Hence, the fixed cost for producing the chips is c(0) = 12000.

Answer 2

For this case we have the following equation:

`c (x) = 15x + 12000`
Where,
x: number of chips
c (x): total cost
To find the fixed cost, we must find the intersection with the y axis of the given equation.
So we have that for x = 0:

`c (0) = 15 (0) + 12000 c (0) = 12000`
Therefore, the fixed production cost is given by:

`c (0) = 12000`
Answer:
The fixed cost of producing the chips is:
c (0) = 12000