125 b. A firm has an average cost function A(q) 4 where q is the firm' s output. 16 1. Determine the levelof output for average costs are minimum. 2. Hence determine the range of values for which average costs are decreasing. 3. What part of the decreasing range is practically feasible?

Algebra and Trigonometry (MindTap Course List)
4th Edition
ISBN:9781305071742
Author:James Stewart, Lothar Redlin, Saleem Watson
Publisher:James Stewart, Lothar Redlin, Saleem Watson
Chapter2: Functions
Section2.4: Average Rate Of Change Of A Function
Problem 4.2E: bThe average rate of change of the linear function f(x)=3x+5 between any two points is ________.
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125
b. A firm has an average cost function A(q)
4 where q is the firm' s output.
16
1. Determine the levelof output for average costs are minimum.
2. Hence determine the range of values for which average costs are decreasing.
3. What part of the decreasing range is practically feasible?
4. Write an equation for the total cost function. (v) Hence calculate the level of output for which
total costs are minimum.
Transcribed Image Text:125 b. A firm has an average cost function A(q) 4 where q is the firm' s output. 16 1. Determine the levelof output for average costs are minimum. 2. Hence determine the range of values for which average costs are decreasing. 3. What part of the decreasing range is practically feasible? 4. Write an equation for the total cost function. (v) Hence calculate the level of output for which total costs are minimum.
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