3. The costs of doing business for a company can be found by adding fixed costs, such as rent, insurance, and wages, and variable or suppliers costs, which are the costs to purchase the product you are selling. The portion of the company’s fixed costs allotted to this product is $360, and the supplier’s cost for a tile set is $ 10 each. Let x represent the number of tile sets.

Question

3. The costs of doing business for a company can be found by adding fixed costs, such as rent, insurance, and wages, and variable or suppliers costs, which are the costs to purchase the product you are selling. The portion of the company’s fixed costs allotted to this product is $360, and the supplier’s cost for a tile set is $ 10 each. Let x represent the number of tile sets.

a. If b represents a fixed cost, what value would represent b?

b. Find the Cost Equation for the tile sets.
Total costs equal Variable costs plus Fixed costs
Write your answer in the form

Let x = number of tile sets sold ( include the units as a check)

Answer 1

a. b = 360.

Y = 10X + 360.

Answer 2

a. The question states that "The portion of the company's fixed costs allotted to this product is $360". Let's assume that b represents the fixed cost. From the given information, we can conclude that b = $360.

b. To find the Cost Equation for the tile sets, we need to consider the fixed costs and the variable costs.

Variable costs are the costs to purchase the product you are selling, which in this case is the cost to purchase each tile set, given as $10 each.

Let x represent the number of tile sets sold. The total costs can be calculated by adding the fixed costs and the variable costs.

Fixed costs = b = $360
Variable costs per tile set = $10
Number of tile sets sold = x

The Cost Equation can be written as:
Total costs = Variable costs + Fixed costs

Substituting the values:
Total costs = ($10 * x) + $360

Therefore, the Cost Equation for the tile sets is:
Total costs = 10x + 360.