SOLUTION: can you please help me whith this problem
64. Minimizing cost. A company uses the formula C(x) = 0.02x^2 – 3.4x + 150 to model the unit cost in dollars for producing x stabilizer
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64. Minimizing cost. A company uses the formula C(x) = 0.02x^2 – 3.4x + 150 to model the unit cost in dollars for producing x stabilizer
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Question 60638: can you please help me whith this problem
64. Minimizing cost. A company uses the formula C(x) = 0.02x^2 – 3.4x + 150 to model the unit cost in dollars for producing x stabilizer bars. For what number of bars id the unit cost at its minimum? What is the unit cost at level of production?
You can put this solution on YOUR website! C(x) = 0.02x^2 - 3.4x + 150
Differentiating the above with respect to x,
C '(x) = (0.02)(2)x - 3.4 + 0 [because differential of a constant is zero.]-(1)
Equating C '(x) to zero,
==> (0.02)(2)x - 3.4 = 0
==> 0.04x - 3.4 = 0
==> 0.04x = 3.4
==> 0.04x/0.04 = 3.4/0.04
==> x = 85
Now differentiating equation (1) again we get..
C '' (x) = 0.04 which is positive.
So x = 85 units the unit cost is minimum.
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