Question 1146652
<br>
y = mx+b<br>
b is the y-intercept (in this problem, the fixed cost; the cost of production before any items are produced)
m is the slope (rate of change; in this problem, how much the production cost increases for each item produced)<br>
The fixed cost is given to you.<br>
Calculate the rate of change using the given information that the cost of producing 60 items, including the fixed cost, is $1400:
total cost of producing 60 items: $1400
fixed cost: $200
production cost for 60 items: $1400-$200 = $1200
per-item cost of production: I leave that little bit to you<br>
Plug the m and b values into the basic equation.