A biscuit factory has daily fixed costs of RM500. In addition, it costs 80 cents to produce each bag of biscuits. A bag of biscuits sells for RM 1.80. Given that x represents the number of bag of biscuits,
(i) Cost function, C(x)
(ii) Revenue function, R(x)
(iii) Profit function, P(x)
(b) Calculate the daily profit if the factory sells 1200 bags of biscuits daily.
(a)(i) Cost function, C(x)
Linear Manufacturing Cost Function = Fixed Cost + (Average Variable Cost) * Output