Problema Solution
Given the functional cost C(x) = x^3 -6x^2 + 13x + 15, find the minimum marginal cost.
Answer provided by our tutors
Minimum marginal cost can be calculated by finding the double derivative of C(x) that is C''(x) and solving by equating with zero.
C'(x)=3x^2-12x+13
C''(x)=6x-12=0
or 6x=12
x=2
when x=2 cost is minimum
so minimal marginal cost=2^3-6(2)^2+13 (2)+15
=8-24+26+15=25