Chapter 13.5, Problem 39E

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11th Edition

Ronald J. Harshbarger + 1 other

ISBN: 9781305108042

Textbook Problem

** Cost** Suppose that the marginal cost for

(dollars per unit) and the fixed cost is $300.

(a) What is the total cost function of the good?

(b) What is the total cost of producing 4 units of this good?

**(a)**

To determine

**To calculate:** The total cost function of the good if marginal cost for

Explanation

**Given Information:**

Marginal cost for

And the fixed cost is

**Formula used:**

Marginal cost for

The integral formula,

**Calculation:**

As it is provided that marginal cost for

Now, to obtain the total cost function, integrate the marginal cost function as the marginal cost function is the derivative of total cost function, so,

Now, use formula

**(b)**

To determine

**To calculate:** The total cost of producing

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