Question

Find the production level that minimizes the average cost. c(x) = 0.1x^2 + 3x + 2000

Answer 1

draw the graph and find the lowest value for c

Answer 2

how do i do that?

Answer 3

or just derivate the equation and solve for it = 0

Answer 4

okay

Answer 5

I got x = -15 @Diogo

Answer 6

Now put that value on the first equation to find C(-15)

Answer 7

ok 0.1(-15)^2 + 3(-15) + 2000 ?

Answer 8

i got 1977.5

Answer 9

so what do i do next?

Answer 10

@Mertsj can u help?

Answer 11

\[c'(x)=.2x+3=0 ` ` if ` ` x = -15\]
\[.1(-15)^2+3(-15)+2000=1977.50=\]=
production level at which cost is minimum.

Answer 12

ok

Answer 13

so thats it?

Answer 14

yes.

You you derivate and igualate the derivate of that function to 0 and calculate the root that will give you the minimum value.

So all you need now is to insert it on the main equation and find the key number :)

Answer 15

I havent really solve your problem so i don't have a value to give you in order to compare with your answer. But if you used all the tips i gave that should be correct

Answer 16

how?

Answer 17

ohh ok so i'm done

Answer 18

Ok. I researched this. No you are not done.

Answer 19

ohh ok

Answer 20

what do i do next?

Answer 21

Back to the beginning. To find the cost of 1 item, we need to divide the original function by x.

Answer 22

ok so 0.1x^2 + 3x + 2000/(x)