Answer:
Equations for the total cost C
Total cost is the sum of total fixed cost and total variable cost incurred on the production of units sold. If c represents total cost and x represents units sold, then
C = $11.20x + $21,000
(where $11.20 is variable cost per unit)
Equations for the total revenue R
Total revenue is the product of number of units sold and sale price per unit. If R represents total revenue and x represents units sold, then
R = $18.70x
