The original development cost is going to be your y intercept or "b" value. This is because even if you never made a single toy it still cost the company $1400.
The other value is the cost per toy or $15/toy, using the "n" as the number of toys the product of those would cancel out the units of toys and leave a cost value alone. i.e. (n toys) * ($15/toy) = $15n.
The equation would be C = $15n + $1400 where at n= 0 it is $1400 of pure development cost and upon each unit produced the cost rises incrementally by $15.
Michael B.
1/30/2013
Comments
C=1415n+0
it costs 1415 to develop and manufacture each toy, so I would assume this is right but I'm not sure since normally there would be a "b" value. If you plug in the number of tous you would get the right cost assuming development and manufa tiring are both costs for the company.
- Vilma M. 1/30/2013