A company is planning to manufacture and sell a new headphone set. After conducting extensive market surveys, the research department provide the following estimates: Marginal costs function: c^' (x)=RM(40+0.4x) where x is the quantity sold for the fixed cost of RM 600. At the price of RM 100, 30 units of headphones were sold and at the price of RM 60, 50 units of headphones were sold:
1.What is the cost function
c'(x) = 40 + 0.4x
c(x) = 40x + 0.2x^2 + k
Now plug in your known value of c(0) = 600
c(x) = 600 + 40x + 0.2x^2