Posted by **Jane** on Monday, March 30, 2009 at 12:54pm.

Here's one more that I do not understand

A company estimates that the cost ($) of producing x units of a certain product is given by:

C= 800 + .04x + .0002x^2

Find the production level that minimizes the average cost per unit.

Thank you so much

- Calculus -
**Reiny**, Monday, March 30, 2009 at 12:58pm
your question makes no sense.

clearly C is increasing as x increases, and C will have a minimum of 800 when x = 0

Their best bet would be not to make any ???

check your typing, I think it should be -.002x^2 perhaps?

- Calculus -
**Jane**, Monday, March 30, 2009 at 1:04pm
Sorry for the typo - you are correct it should be -.002x^2

- Calculus -
**Reiny**, Monday, March 30, 2009 at 1:16pm
in that case, very easy

dC/dx = .04 - .004x

= 0 and solve for x

x = .004/.04 = ...

- Calculus -
**Jane**, Monday, March 30, 2009 at 2:21pm
I still do not see what the answer would be . Is x = .001

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