The manufacturer of pencils spends $0.05 to make each pencil and sells them for
0.25. The manufacturer also has fixed costs each month of $2000. Find the cost function C when x pencils are manufactured.

C(x) = 2000+ 0.05 x

Step-by-step explanation:

Hi, to answer this question we simply have to apply the next formula:

Cost (C) = fixed cost + (cost per pencil x number of pencils)

Since:

Fixed cost: $2000

Cost per pencil : $0.05

Replacing with the values given:

C(x) = 2000+ 0.05 x

Where x is the number of pencils manufactured.

Feel free to ask for more if needed or if you did not understand something.

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