Question

A company sells x units of an item each day at the rate of Rs. 50. The cost of manufacturing each unit of an item is Rs. 36.50 and the dristributor demands a charge of Rs. 3.50 per unit. If the daily overhead charge is Rs. 2600, find the profit function. Also find the profit if 360 units of an item are produced and sold daily?​

Answer 1

Y(x) = 10x - 2600

Profit= RS. 1000

Explanation:

Amount sold per item=RS. 50.

Cost of manufacturing= RS. 36.5

Distributor charges= Rs 3.5

Daily over head charge= RS.2600

Profit function Y (x)

Y (x) =x(50) -36.5(x) -3.5(x)-2600

Y(x) = (50-36.5-3.5)x-2600

Y(x) = 10x - 2600

If x= 360

Profit Y = 10(360) - 2600

Profit Y = 3600-2600

Profit = 1000

Profit= RS. 1000