Question

The Wacky Widget Company is planning to produce widgets. The company has rented space for its manufacturing operation at $4,000 per month. Each widget requires $77 worth of materials and $43 worth of labor.

Answer 1

It is given that the rented space cost is $4000

Each widget requires $77 worth of materials and $43 worth of labor.

Therefore the cost price of one widget is:

`C_1=77+43=120_{}`

The cost of 230 widgets is:

`C_(230)=120*230=27600`

Hence the total cost is given by:

`\begin{gathered} C_(total)=C_(230)+4000 \\ C_(total)=27600+4000 \\ C_(total)=31600 \end{gathered}`

Hence the total cost of producing 230 widgets is $31600.