Marty's Tee Shirt & Jacket Company is to produce a new line of jackets with a embroidery of a
Great Pyrenees dog on the front. There are fixed costs of $650 to set up for production, and variable
costs of $40 per jacket. Find an equation that can be used to determine the total cost, C, encountered
by Marty's Company in producing x jackets, and use the equation to find the total cost of producing
115 jackets.
Total cost is fixed cost, plus per-jacket cost multiplieed by the number made (x).
Write that as an equation.
To determine the total cost, C, encountered by Marty's Company in producing x jackets, we need to consider both the fixed costs and variable costs.
Fixed costs: These costs are the same regardless of the number of jackets produced. In this case, the fixed costs are $650 to set up for production.
Variable costs: These costs increase with the number of jackets produced. In this case, the variable costs are $40 per jacket.
To find the equation to determine the total cost, we can sum up the fixed costs and the variable costs.
Total Cost (C) = Fixed Costs + Variable Costs
Variable Costs = Cost per Jacket * Number of Jackets
Putting it all together, we get:
C = $650 + ($40 * x)
Now, let's use the equation to find the total cost of producing 115 jackets.
C = $650 + ($40 * 115)
C = $650 + $4600
C = $5250
Therefore, the total cost of producing 115 jackets is $5250.