Posted by **chels** on Tuesday, May 22, 2012 at 11:53pm.

A company can produce T-shirts for $0.99 each. They spent $1,000,000 on their building and machines. What is the horizontal asymptotes of the graph that models the average cost of each t shirt, including the start up cost?

- Algebra 2 -
**Steve**, Wednesday, May 23, 2012 at 12:43pm
total cost for x shirts is

c(x) = 1000000 + .99x

average cost is

a(x) = c(x)/x = .99 + 1000000/x

asymptote at a = .99

makes sense, since for say, a billion shirts, they will each cost .99 + .001

(the fixed cost is shared among a billion shirts). The average cost will never get below .99, but will get closer and closer to it, as the fixed amount is spread among more and more shirts.

## Answer this Question

## Related Questions

- math - The Math-Is-Fun T-shirt Company manufactures and sells screen-printed t-...
- supply chain - Suppose that a manufacturer of men's shirts can produce a dress ...
- 11th grade Algebra 2 - Some students want to order shirts with their school logo...
- finance - Shamroll inc. is a household products frim that is considering ...
- math - machines A &B. Model A machines each cost $200 to make at a profit of $25...
- linear programming-maths - PLEASE HELP!!!!!!! machines A &B. Model A machines ...
- marketing - Mark is trying to determine his firm's average cost per unit of ...
- statistics - This table shows claims and their probablity for an insurance ...
- math - The equation C(x) = 100x + 100,000/x models the average cost (C(x)) for a...
- MSU - Shirts Unlimited operates a chain of shirt stores that carry many styles ...

More Related Questions