Cost is in dollars of producing x amount of things is
c(x) = 16000 +22.5x +0.004x^2
At what production level will cost be lowest?

Question

Cost is in dollars of producing x amount of things is 
c(x) = 16000 +22.5x +0.004x^2 
At what production level will cost be lowest?

anonymous · Answer

when x = 0

so 

C(0) = 16000 + 22.5(0) + 0.004(0)^2

= $16 000

anonymous · Answer

The answer says 2000, anyone know why? Is it wrong?

anonymous · Answer

I'm not sure, they must have used solved for a different x value @robtobey

anonymous · Answer

you first need to find the first derivative of the cost c(x) with respect to the number of units x, then equate it to zero to optimize the number of units production for lowest costs

anonymous · Answer

ans 2812.5 units