Q:

jeremy and justine work for a company that receives $45 for each unit of output sold. the company has a variable cost of $25 per item and a fixed cost of $1600. determine a function that models the profit for the company based upon the conditions for revenue and expense

Accepted Solution

A:
Answer:P(x) = 20x - 1600.Step-by-step explanation:The revenue of the company is obtained by selling each unit of output for $45. So. for x units of output sold the revenue will be given by  R(x) = 45x ....... (1) Again, the company has the expense of fixed $1600 and another expense of $25 per output of items. Hence, for x items the cost will be given by  C(x) = 1600 + 25x Therefore, the function that models the profit of the company based upon the conditions for revenue and cost will be P(x) = R(x) - C(x) ⇒ P(x) = 45x -(1600 + 25x) = 20x - 1600. (Answer)