Question

he cost to produce items is dollars. Find the marginal cost of producing the item. Interpret your answer in terms of costs. The marginal cost of producing the item is Enter your answer; The marginal cost of producing the 25^th item is $ 150 . This means that the cost of production Choose your answer; This means that the cost of production increases by about Enter your answer; by about $ 150 when we add one unit to a production level of Enter your answer; when we add one unit to a production level of _ units units.

Answer 1

a. The marginal cost of producing the 25^th item is $100.

b. This means that the cost of production increase by about $100; when we add one unit to a production level of 25 units.

Step-by-step explanation:

Note: This question is not complete. The complete question is therefore provided before answering the question as follows:

The cost to produce q items is C(q) = 1000 + 2q^2 dollars. Find the marginal cost of producing the 25th item. Interpret your answer in terms of costs.

The marginal cost of producing the 25^th item is $_______.

This means that the cost of production _____ by about ________; when we add one unit to a production level of _____ units.

The explanation of the answer is now provided as follows:

a. Find the marginal cost of producing the 25th item.

Given:

C(q) = 1000+2q^2 …………… (1)

Taking the derivative of equation (1) with respect q to obtain the marginal cost function as follows:

MC(q) = C’(q)= 4q ………………….. (2)

Substituting q = 25 into equation (2), we obtain the marginal cost (MC) of producing the 25th item as follows:

MC(25) = 4 * 25 = $100

Therefore, the marginal cost of producing the 25^th item is $100.

b. Interpret your answer in terms of costs.

This means that the cost of production increase by about $100; when we add one unit to a production level of 25 units.