A factory produces beach umbrellas. They have a fixed cost they must pay no matter how many umbrellas they produce, and a variable cost they must pay for each umbrella they produce. The cost of producing x umbrellas is modeled by the function
C(x) = 2.83x + 1, 350. Identify and interpret the initial value. (1 point)
• The initial value of 1,350 represents the fixed cost.
• The initial value of 1,350 represents the variable cost.
• The initial value of 2.83 represents the variable cost.
• The initial value of 2.83 represents the fixed cost.
The correct interpretation is:
• The initial value of 1,350 represents the fixed cost.