Average Inventory at Cost: $18,127
1 answer:
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<h3>Answer: 15x^(7/3) - 8x^(7/4) + x + 9000</h3>
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Explanation:
If you know the cost function C(x), to find the marginal cost, we apply the derivative.
Marginal cost = derivative of cost function
Marginal cost = C ' (x)
Since we're given the marginal cost, we'll apply the antiderivative (aka integral) to figure out what C(x) is. This reverses the process described above.
D represents a fixed constant. I would have used C as the constant of integration, but it's already taken by the cost function C(x).
To determine the value of D, we plug in x = 0 and C(x) = 9000. This is because we're told the fixed costs are $9000. This means that when x = 0 units are made, you still have $9000 in costs to pay. This is the initial value. You'll find that all of this leads to D = 9000 because everything else zeros out.
Therefore, we go from this
to this
which is the final answer.