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Year 11 Maths Methods SAC ANALYSIS TASK
The UP-IT Company
UP-IT, a small home-based company manufacturing star-picket-pullers for removing star-pickets from old fences, has fixed operating costs of $15,000 per year. In addition to these fixed costs, it costs $28 to manufacture each star-picket-puller.

1. To determine the total cost, $C, for manufacturing star-picket-pullers per year you would have to times the number of star-picket-pullers, s, by $28 and then add the fixed operating cost of $15,000.

$C= 28s + 15,000

2. i. If the annual production is 300 star-picket-pullers, to find the overall annual cost, $C, you would have to times the number of star-picket-pullers manufactured, 300, by the cost of manufacture, $28, and then add the fixed operating cost of $15,000. After doing all that you should get $23,400 as your overall annual cost, $C.

$C=28(300) + 15...