Raymond B. answered 08/28/19
g(f(x)) = f(x)+2 = 1/2x+1+2 = selling price per hat
g(f(10)) = 1/2(10)+1+2 = 1/20+1+2 = $3.05
Cost per hat, with 10 hats is $1.05, 1/20+1. Profit is always $2 per hat or total profit of $20 on 10 hats
10 hats cost $10.50. Total sales if all 10 sold is $30.50 Total profit $30.50-$10.50=$20
Always a per hat markup of $2
There's a volume decrease in per hat cost. Just one hat costs 1/2+1 = $1.50
But with 10 hats the per hat cost decreases to $1.05