Question

TUU PIS Suppose a large company makes 25,000 gadgets per year in batches of x items at a time. After analyzing setup costs to produce each batch and taking into account storage costs, it has been determined that the total cost C(x) of producing 25,000 gadgets in batches of x items at a time is 160,000,000 given by C(x) = 1,600,000 + - - +3.5x. Complete parts (a)-(c) below. a. Determine the marginal cost and average cost functions. Graph and interpret these functions. The marginal cost function is c'(x) = . C(x) The average cost function is 25.000 L Choose the correct graph below. OA. ОА OB. 100- 100- 1001 Click to select your answer(s). 3 PS

Answer 1

e) = Marginal 1,600,000 + 160,000,000 + 3,51 cost : c'(x) = 0 + 3,5 - 160,000,000 - 3.5 – 160,000,000 average cost = c(2) 25,000 1600 dpd + 16000000 + 3.57 aspoo 256ada 2500 64 + 6400 + 0.000144 v 25ooo » c'(x).