The O'Neill Shoe Manufacturing Company will produce a special-style shoe if the order size is large enough to provide a reasonable profit. For each special-style order, the company incurs a fixed cost of $1800 for the production setup.
The O'Neill Shoe Manufacturing Company will produce a special-style shoe if the order size is large enough to provide a reasonable profit. For each special-style order, the company incurs a fixed cost of $1800 for the production setup.
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The O'Neill Shoe Manufacturing Company will produce a special-style shoe if the order size is large enough to provide a reasonable profit. For each special-style order, the company incurs a fixed cost of $1800 for the production setup.
Transcribed Image Text:Problem 1-12 (Algorithmic)
The O'Neill Shoe Manufacturing Company will produce a special-style shoe if the order size is large enough to provide a reasonable profit. For
each special-style order, the company incurs a fixed cost of $1800 for the production setup. The variable cost is $20 per pair, and each pair
sells for $40.
a. Let x indicate the number of pairs of shoes produced. Develop a mathematical model for the total cost of producing x pairs of shoes.
Express your answer in terms of x.
TC =
b. Let P indicate the total profit. Develop a mathematical model for the total profit realized from an order for x pairs of shoes. Express your
answer in terms of x.
P =
c. How large must the shoe order be before O'Neill will break even? Round your answer to the nearest whole number.
X =
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