Answer:
[tex]Cost = 338500[/tex]
Step-by-step explanation:
Given
Startup = $116000
Cost per item = $25
Equation: 25q + 116000
Required
Determine the cost of producing 8900 items
The question implies that q = 8900
To solve further, we have to substitute 8900 for q in the given equation
Equation = 25q + 116000 becomes
[tex]Cost = 25 * 8900 + 116000[/tex]
[tex]Cost = 222500 + 116000[/tex]
[tex]Cost = 338500[/tex]
Hence, the cost of producing 8900 items is $338500