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--- The total cost (in dollars) of manufacturing x auto body frames is C(x) = 50

ID: 3346392 • Letter: #

Question

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The total cost (in dollars) of manufacturing x auto body frames is C(x) = 50,000 + 500x. Find the average cost per unit if 500 frames are produced. [Hint: Recall that C(x) is the average cost per unit] (D) Find the average value of the cost function over the interval [0,500]. Discuss the difference between parts (A) and (B). The average cost per unit if 500 frames are produced is $ The average value of the cost function is $ $ is the average cost per unit at a production level of 500 units, $ he average value of the total cost as production increases from 0 to 500 units.

Explanation / Answer

(A) answer= $600

(B) answer= $350.5

(C) $600, $350.5