Question

The RideEm Bicycles factory can produce 100 bicycles in a day at a total cost of $10,900, and it can produce 120 bicycles in a day at a total cost of $11,700. (a) Find a linear function that models the total cost for RideEm to produce x bicycles.

Answer 1

c(x) = 40 (x) + $6,900

Explanation:

According to the scenario, given data are as follows,

Total cost of 100 bicycles (x1) = $10,900

Total cost of 120 bicycles (x2) = $11,700

Let Number of bicycles = X

Than cost of X bicycles = c(X)

let, fixed cost be F and variables cost be V, than

c(X) = V(X) + F

So, we can calculate variable cost by using following method,

V = c(x2) - c(x1) ÷ ( x2 - x1)

= ( $11,700 - $10,900) ÷ ( 120 - 100)

= $800 ÷ 20

= $40

So, calculate fixed cast by putting value to equation,

$10,900 = ($40 ×100) + F

F = $10,900 - $4,000 = $6,900

So, For x number of bicycles, cost equation will be,

c(x) = 40 (x) + $6,900