Answer and Explanation
Your Answer is
Correct Answer is D
Explanation
Fixed cost is a fixed cost even if 0 units are sold, so according to the image, when x is 0, the y value is the value to be evaluated, so choose D
Use the following information to answer questions 32-34.
Mousepads Galore is a company that produces computer mousepads. Cost is the total money spent to produce and sell the mousepads, and revenue is the total income generated by the sale of the mousepads. The graph below depicts projections for the linear cost function, C(x), and the linear revenue function, R(x).
33. The cost function shown in the graph for Mousepads Galore has 2 components : a fixed cost, plus a constant production cost per mousepad. Which or the following is the fixed cost?