Question

Please help me solve this step by step im reallyConfused

Answer 1

We are told that the production cost is directly proportional to quantity.

Thus;

`\begin{gathered} c_1\propto n \\ c_1=kn \end{gathered}`

We are told that;

It costs $45,000 to produce 900 items, thus;

`\begin{gathered} 45000=900k \\ k=50 \end{gathered}`

The cost to store n items varies as the square of n, thus;

`\begin{gathered} c_2\propto n^2 \\ c_2=bn^2 \end{gathered}`

It costs $4050 to store 900 items, thus;

`\begin{gathered} 4050=b(900^2) \\ b=0.005 \end{gathered}`

There is also a $1000 fixed daily cost; thus the total costs is;

`T=0.005n^2+50n+1000`