Question

Find the number of monthly clients which minimizes your average cost per client. Note: a complete answer should give an argument using the first or second derivative test as to why whatever value you found is an absolute minimum.

Answer 1

To minimize the average cost per client, find the number of monthly clients that achieves the lowest average cost by analyzing the cost function and finding its minimum point.

Step-by-step explanation:

In order to minimize the average cost per client, we need to find the number of monthly clients that achieves the lowest average cost. This can be done by analyzing the cost function and finding its minimum point. Let's assume the cost function is represented as C(x) where x is the number of monthly clients. We can differentiate this function to find its critical points. By using the first or second derivative test, we can determine if the critical points are local minima. The number of monthly clients corresponding to the local minimum will minimize the average cost per client.