Hi,
I cannot figure out how this person arrived at the equation which determined the minimal value function. Here is what I have;
The total cost of producing x units of a certain product is given by;
C(x)=1/5x^2+2x+2000
The average cost for producing x units is
C1(x)=C(x)/x
A. Find the rational function C1(x); (I understand this it is simple)
(1/5x^2+2x+2000)/x = 1/5x+2+2000/x
B. At which production level will the average cost per unit be minimal? (THIS IS WHERE I CANNOT UNDERSTAND HOW THEY GOT THEIR ANSWER;
The minimal value function C1=(c/a)^1/2 where c=2000 and a=1/5 (how do you arrive at this equation) I have the answer but I need to understand how I can get this equation. I realize the value of c and a are from the original equation but I do not know why. Please Help!!!
I cannot figure out how this person arrived at the equation which determined the minimal value function. Here is what I have;
The total cost of producing x units of a certain product is given by;
C(x)=1/5x^2+2x+2000
The average cost for producing x units is
C1(x)=C(x)/x
A. Find the rational function C1(x); (I understand this it is simple)
(1/5x^2+2x+2000)/x = 1/5x+2+2000/x
B. At which production level will the average cost per unit be minimal? (THIS IS WHERE I CANNOT UNDERSTAND HOW THEY GOT THEIR ANSWER;
The minimal value function C1=(c/a)^1/2 where c=2000 and a=1/5 (how do you arrive at this equation) I have the answer but I need to understand how I can get this equation. I realize the value of c and a are from the original equation but I do not know why. Please Help!!!