Answer:
Total cost= 120x + 55,000
x= nuber of units
Explanation:
Giving the following information:
Variable costs::
Compressor= $35
sheet molded compound frame= $11
assembly= $74
Total= $120
The factory machines and tools cost is $55,000.
We need to structure the total cost formula.
Total cost= total variable cost + total fixed costs
Total cost= 120x + 55,000
x= nuber of units
In this case:
Total cost= 120*1,300 + 55,000= $211,000
