A Company Has Cost Function $C ( x ) = 1000 + 20 x + x ^ { 2 }$

question 138

Essay

A company has cost function $C ( x ) = 1000 + 20 x + x ^ { 2 }$ . Find:
(a) The average cost function.(b) The marginal cost function.(c) The production level x that will minimize the average cost.(d) The minimum average cost.

Recognize production functions with constant, decreasing, or increasing returns to scale.

Identify the relationship between input ratios and output levels, including the concept of the marginal product of labor.

Understand the elasticity of substitution between inputs in production processes.

Comprehend the meaning and implications of convexity in production functions.

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Definitions:

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The region of the brain situated at the forefront of each cerebral hemisphere, tasked with controlling voluntary movements, expressive language, and overseeing advanced executive functions.