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Question
A company producing jigsaw puzzles has fixed costs of and variable costs of per puzzle. The company sells the puzzles for each. Find formulas for the cost function, the revenue function, and the profit function.
Solution
VerifiedAnswered 1 year ago
Answered 1 year ago
Step 1
1 of 4Let's remember that the total cost can be determined as
and the revenue can be determined as
Also, the profit can be calculated as
where number of items, the price per item.
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