Answer:
a. The expression for the profit from the production and sale of x units:
Profit (P) = 250x - 20,000
b. If 4000 units are sold, Profit is $980,000
Explanation:
The company's revenue R (in dollars) from the sale of x units of its product is given by R = 320x and the total costs C (in dollars) of producing those x units is given by C = 70x + 20,000.
The expression for the profit from the production and sale of x units:
Profit (P) = Revenue - Cost = 320x - (70x + 20,000) = 250x - 20,000
If 4,000 units are sold, x = 4,000
Profit = 250 x 4,000 - 20,000 = $980,000
