Solve the Problem $C ( x ) = 60$ B $R ( x ) = 1.2 x$

question 169

Multiple Choice

Solve the problem.
-A vendor at a carnival sells cotton candy and caramel apples for $2.00 each. The vendor is charged $60 to set up his booth. Furthermore, the vendor's average cost for each product he produces is Approximately $0.80.

a.Write a linear cost function representing the cost C(x) (in $) to produce x products.
b. Write a linear revenue function representing the revenue R(x) (in $) for selling x products.
c. Determine the number of products to be produced and sold for the vendor to break even.

• A) a. \(C ( x ) = 60\)
• b. \(R ( x ) = 1.2 x\)
• c. products \(= 75\)
• B) a. \(C ( x ) = 60\)
• b. \(R ( x ) = 1.2 x\)
• c. products \(= 50\)
• C) a. \(C ( x ) = 0.8 x + 60\)
• b. \(R ( x ) = 2 x\)
• c. products \(= 75\)
• D) a. \(C ( x ) = 0.8 x + 60\)
• b. \(R ( x ) = 2 x\)
• c. products \(= 50\)

Comprehend how production reports accumulate costs and account for units in process costing.

Understand the requirement of homogeneous output for using process costing.

Learn the process of accounting for transferred units in process costing across departments.

Differentiate between process costing and job-order costing based on the types of products manufactured.

---

Definitions:

Puppets

Objects manipulated by individuals or mechanisms to create an illusion of life, often used in storytelling and entertainment.

Psychologist

A professional specializing in diagnosing and treating mental health issues, studying human behavior, and applying psychological research to improve individuals' lives.

MMPI

The Minnesota Multiphasic Personality Inventory (MMPI) is a standardized psychometric test of adult personality and psychopathology.

Altruism

The selfless concern for the well-being of others, often leading to acts of kindness without expectation of reward.