Difference between revisions of "022 Exam 1 Sample A, Problem 9"

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(Created page with "<span class="exam">Find the marginal cost to produce one more item if the fixed cost is $400, the variable cost formula is <math style="vertical-align: -5%">x^{2}+30x</math>,...")
 
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::<math>C'(9)\,\,=\,\,2(9)+30\,\,=\,\,58.</math>
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::<math>C'(9)\,\,=\,\,2(9)+30\,\,=\,\,48.</math>
 
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|Hence, the marginal cost at a production quantity of 9 units is $58.
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|Hence, the marginal cost at a production quantity of 9 units is $48.
 
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!Final Answer: &nbsp;
 
!Final Answer: &nbsp;
 
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|The marginal cost at a production quantity of 9 units is $58.
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|The marginal cost at a production quantity of 9 units is $48.
 
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[[022_Exam_1_Sample_A|'''<u>Return to Sample Exam</u>''']]
 
[[022_Exam_1_Sample_A|'''<u>Return to Sample Exam</u>''']]

Latest revision as of 12:40, 20 April 2015

Find the marginal cost to produce one more item if the fixed cost is $400, the variable cost formula is , and the current production quantity is 9 units.

Foundations:  
Recall that the total cost, , is the sum of the fixed and variable costs. Also, the marginal cost at units is defined to be the effective cost of the next unit produced, and is precisely .
Solution: 
Note that
The expression of the marginal cost is then
Finally, at a production quantity of 9 units, we have the marginal cost
Hence, the marginal cost at a production quantity of 9 units is $48.
Final Answer:  
The marginal cost at a production quantity of 9 units is $48.

Return to Sample Exam