Question

Jerard noticed that different invoices took varying amounts of time to process. Invoices with stock items took less time than invoices with custom items, and invoices with only one or two items took less time than invoices with more items. It was also noted that the first invoice for a new customer took longer than if it was for an existing customer. Using the general formula Y=m(X) + b format where Y= Total time allocated, m= Variable amount of time by type of transaction, X= Type of transaction and b = Fixed cost or Y-intercept, calculate Y for the following if the invoice is being prepared for a new customer who ordered stock items:

New customer= additional 3 minutes
Custom items = additional 4.5 minutes
Fixed cost for a basic invoice = 4 minutes

Answer 1

The total time allocated (Y) for preparing an invoice for a new customer who ordered stock items is 7 minutes, calculated by adding the additional time for a new customer (3 minutes) to the fixed cost for a basic invoice (4 minutes).

Step-by-step explanation:

To calculate the total time allocated (Y) for preparing an invoice using the given formula Y = m(X) + b, we must identify the appropriate values for m (variable amount of time by type of transaction), X (type of transaction), and b (fixed cost or Y-intercept).

In this scenario, the transaction is for a new customer who ordered stock items. Therefore, the additional time for a new customer is 3 minutes, and there are no extra minutes added since custom items are not involved. The fixed cost for a basic invoice is 4 minutes.

Now we can plug these values into the formula as follows:

Y = m(X) + b
Y = 3(min for new customer) + 4(fixed cost)
Y = 3 + 4
Y = 7 minutes

Hence, the total time allocated for the invoice is 7 minutes.