A factory produces beach umbrellas. They have a fixed cost they must pay no matter how many umbrellas they produce, and a variable cost they must pay for each umbrella they produce. The cost of producing x umbrellas is modeled by the function C(x)=2.83x+1,350 . Identify and interpret the initial value.

Question

A factory produces beach umbrellas. They have a fixed cost they must pay no matter how many umbrellas they produce, and a variable cost they must pay for each umbrella they produce. The cost of producing x umbrellas is modeled by the function C(x)=2.83x+1,350 . Identify and interpret the initial value.

The initial value of 1,350 represents the fixed cost.

The initial value of 1,350 represents the variable cost.

The initial value of 2.83 represents the variable cost.

The initial value of 2.83 represents the fixed cost.

Answer 1

The initial value of 1,350 represents the fixed cost, which is the cost that the factory must pay regardless of how many umbrellas they produce. This cost includes expenses such as rent, utilities, and salaries that do not change based on production levels. In this case, the fixed cost of producing beach umbrellas is $1,350.