Suppose the fridge daily cost function produced at Friga's Frigid Fridges is represented by the following C(x) = 2000 50 (a) Find the differential of the daily cost and use it to approximate the cost change if the current production is at 500 units and 5 more units are produced. (b) Find the actual cost difference function and use that to calculate the cost for the 501st unit. (c) Find the marginal cost function, evaluate C' (500), and interpret your results. + 50x + 20, 000

Survey Of Economics
10th Edition
ISBN:9781337111522
Author:Tucker, Irvin B.
Publisher:Tucker, Irvin B.
Chapter6: Proudction Costs
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Suppose the fridge daily cost function produced at Friga's Frigid Fridges is represented by the following
C(x) =
x-2
x3
2000 50
(a) Find the differential of the daily cost and use it to approximate the cost change if the current production is at 500 units and 5 more units are produced.
(b) Find the actual cost difference function and use that to calculate the cost for the 501st unit.
(c) Find the marginal cost function, evaluate C' (500), and interpret your results.
+ 50x + 20, 000
Transcribed Image Text:Suppose the fridge daily cost function produced at Friga's Frigid Fridges is represented by the following C(x) = x-2 x3 2000 50 (a) Find the differential of the daily cost and use it to approximate the cost change if the current production is at 500 units and 5 more units are produced. (b) Find the actual cost difference function and use that to calculate the cost for the 501st unit. (c) Find the marginal cost function, evaluate C' (500), and interpret your results. + 50x + 20, 000
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