The cost, in dollars, to produce q units is C(q)=8050+15q
What is the fixed cost?
which term is fixed (constant)?
or, in other words, what is the cost when nothing is made (q=0)?
To find the fixed cost, we need to determine the cost when no units are produced. In other words, we need to find the value of C(q) when q equals zero.
From the given cost function, C(q) = 8050 + 15q, we substitute q with zero:
C(0) = 8050 + 15(0)
C(0) = 8050 + 0
C(0) = 8050
Therefore, the fixed cost is $8050.