Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

fGiven that the cost function for manufacturing the chairs is C(x) =0.0002x -0.3x3 + 24x+95,000 where x is number of chairs and C(x) is price

image text in transcribedimage text in transcribed
image text in transcribedimage text in transcribed
\fGiven that the cost function for manufacturing the chairs is C(x) =0.0002x -0.3x3 + 24x+95,000 where x is number of chairs and C(x) is price in dollars. 1. Find the marginal cost function, C'(x) 2. Find and interpret the marginal cost for x = 1000 units 3. Find the average cost function, C(x) 4. Find the marginal average cost function, C'(x) 5. Find and interpret the marginal average cost for x = 1000 units 6. Use the 1" derivative test to determine when the cost function is increasing and decreasing. Then, how many chairs (x) need to be produced in order to minimize the cost of production? What is the minimum cost? (Hint: use the quadratic formula AND round to 2 decimal places)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

General Topology

Authors: Stephen Willard

1st Edition

0486131785, 9780486131788

More Books

Students also viewed these Mathematics questions

Question

What type of leases do chartered banks normally make?

Answered: 1 week ago

Question

Describe an activity-based relational database. LO4

Answered: 1 week ago

Question

What is a homogeneous cost pool? LO2

Answered: 1 week ago

Question

What is an overhead consumption ratio? LO2

Answered: 1 week ago