Soosies cookie company had fixed costs of 1250 and variable

Soosie\'s cookie company had fixed costs of $1250 and variable costs of $4.25 per dozen gourmet cookies that were baked and packaged for sale. Write an equation that can be used to determine the total cost when x dozens of cookies are baked and sold. Then determine the total cost of baking and selling 85 dozen gourmet cookies.

Solution

Let x dozens of cookies are baked and sold.

Now from the given directions we have,

C(x) = 4.25x + 1250

When x= 85 then total cost,

C(85) = 4.25*85 +1250 = $ 1611.25