Profit: The background for this exercise can be found in manufacturer of widgets has fixed costs of $200 per month, and the variable cost is $55 per thousand widgets (so it costs $55 to produce a thousand widgets). LetN be the number, in thousands, of widgets produced in a month.
a. Find a formula for the manufacturer’s total cost C as a function of N.
b. The manufacturer sells the widgets for $58 per thousand widgets. Find a formula for the total revenue R as a function of N.
c. Use your answers to parts a and b to find a formula for the profit P of this manufacturer as a function of N.
d. Use your formula from part c to determine the break-even point for this manufacturer.
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