Work these problem. (See Example.)
The total cost (in dollars) of producing x DVDs is C(x) = 6.80x + 450,000.
(a) What are the fixed costs?
(b) What is the marginal cost per DVD?
(c) What is the total cost of producing 50,000 DVDs? 600,000 DVDs?
(d) What is the average cost per DVD when 50,000 are produced? when 500,000 are produced?
Example
An electronics company manufactures handheld PCs. The cost function for one of its models is C(x) = 160x + 750,000.
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