King Fahd University of Petroleum & Minerals
Department of Mathematical Sciences
(Semester 053) Math 131 Quiz # 1
Name: _________________________________________________ I.D. # ___________________
A company produces a product for which the variable cost per unit is $3.50 and fixed cost is $20,000 per year.
Next year, the company wants the total cost to be $48,000. How many units of the product should be made
next year?
A 100 unit high-rise apartment building which has no vacancy has come under new management. The new
management company wants to receive $101,500 in monthly rent. They estimate that for each $50 per month
increase over the current $950 per month rent, there will be three vacancies with no possibility of filling them.
What rent should they charge for each apartment?