The estimated cost to produce x items is given by the function: C(x)= 0.004x² + 5x + 6000 Determine the average cost and marginal cost of producing 2,000 items and calculate the level of output for which the average cost is the lowest and what that cost is.

The estimated cost to produce x items is given by the function: C(x)= 0.004x² + 5x + 6000 Determine the average cost and marginal cost of producing 2,000 items and calculate the level of output for which the average cost is the lowest and what that cost is.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

The estimated cost to produce x items is given by the function:
C(x) = 0.004x² + 5x + 6000
Determine the average cost and marginal cost of producing 2,000 items and
calculate the level of output for which the average cost is the lowest and what that
cost is.

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