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Acompany is planning to manufacture snowboards. The xed costs are $300 per day and total costs are $4900 per day at a daily output of
Acompany is planning to manufacture snowboards. The xed costs are $300 per day and total costs are $4900 per day at a daily output of 20 boards. A. Assuming that the total cost per day, 00:), is linearly related to the total output per day, x, write an equation for the cost function, 000 = B. The average cost per board for an output of x boards is given by 5(x)=C(x)/x. Find the average cost function. 6(x) = h C. Sketch a graph of the average cost function, including any asymptotes, for 1 Sx S 30. Choose the correct graph below. L) A. (:2 B C) c. A 500 y Q 500$y Q 500 y Q Q ,\ Q Q _ J _ _ _ _ _ _ _ _ \ l3 I3 l3 X X X o > o > 0 > 1 30 1 30 1 30 D. What does the average cost per board tend to as production increases? 41
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