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Mathematics, 01.03.2021 23:30 MrKrinkle77
A fixed cost is a cost that does not change with sales volume. Here, the fixed costs of the
business are insurance, rent, utilities, and base pay for employees. The sum of the fixed costs, b, and the commission represents the point where the cost function crosses the vertical axis ($). Why would a business owner want to minimize the fixed costs? Vary the fixed costs in the spreadsheet to see what happens. Explain your answer in terms of the
equation P(x) = R(x) - C(x).
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A fixed cost is a cost that does not change with sales volume. Here, the fixed costs of the
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