00:01
Okay, so first we want average cost.
00:03
And if we remember, average cost would be total cost over total shirts, right? so first we need to find out our total cost.
00:14
And so if we look at it, we are going to have to pay $35 no matter what to set up the t -shirts.
00:22
And then it's going to be $4 .25 per t -shirt.
00:29
So i can call it t.
00:31
So that's our total cost.
00:33
And then if we want to say average, that's going to be the total cost divided by the number of t -shirts we print, right? so that's our equation.
00:48
And so if we print 25 shirts, then i'm going to say 35 plus 425 times 25 divided by 25.
01:02
So first i'm going to say 425 times 25 plus 35.
01:09
And then divide by 25, and we get $5 .65.
01:18
Per shirt, when we produce 25 shirts...