 # Help please! if you can write the formulas Anonymous
account_balance_wallet \$5

### Question Description Felix N
School: Cornell University   Total cost(TC)= Variable Cost(VC) + Fixed Cost(FC)

TC =FC + VC

y = mx + c

y - TC

m - VC

x - number of units

c - FC

Forecasted Output(x) = 10,000 units

process one:

x = 10000 units
m = \$50.00
c = \$100000
therefore, TC = 50 * 10000 + 100000
= \$600,000

process two
x = 10,000units
m = \$30.00
c = \$250,000
therefore, TC = 30*10000 + 250,000
= \$550,000

since \$550,000 < \$600,000

therefore they used process two.

cost of producing 4000units

process one

TC = 50*4000 + 100000

= \$300,000

process two

TC = 30*4000 + 250,000

= \$370,000

therefore, extra cost incurred

= \$370,000-\$300,000

= \$70,000.

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Top quality work from this guy! I'll be back! Brown University

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