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13 Nov 2019
A small machine shop manufactures drill bits used in the petroleum industry. Based on additional data, the manager estimates that the total daily cost (in dollars) of producing X bits is the cost function
C(X) = 1600 + 0.20X2
where X is the number of bits produced and $1600 is the daily fixed cost and $0.20X is the variable cost per unit.
The manager has set a production goal to produce the number of bits per day which will keep the average cost per bit as low as possible.
Find the production level (i.e., value of X) that will generate the minimum average cost per unit. (Round your answer to the nearest whole number)
A small machine shop manufactures drill bits used in the petroleum industry. Based on additional data, the manager estimates that the total daily cost (in dollars) of producing X bits is the cost function
C(X) = 1600 + 0.20X2
where X is the number of bits produced and $1600 is the daily fixed cost and $0.20X is the variable cost per unit.
The manager has set a production goal to produce the number of bits per day which will keep the average cost per bit as low as possible.
Find the production level (i.e., value of X) that will generate the minimum average cost per unit. (Round your answer to the nearest whole number)
Trinidad TremblayLv2
30 Oct 2019
