Final answer:
The total expenses incurred by Carol's Custom Tees can be calculated using the equation: Total expenses = Fixed cost + (Variable cost per shirt x Number of shirts). In this case, the fixed cost is $400 and the variable cost is $3 per shirt.
Step-by-step explanation:
To determine the total expenses incurred by Carol's Custom Tees, we can use the equation:
Total expenses = Fixed cost + (Variable cost per shirt x Number of shirts)
In this case, the fixed cost is $400 and the variable cost is $3 per shirt.
Let's say the number of shirts is represented by 'x'. The equation can be written as:
Total expenses = $400 + ($3 x x)
Simplifying further, it becomes:
Total expenses = $400 + $3x