Explanation Given information: The cost of recycling q tons of paper is given in the following table. Calculation: We have to estimate the marginal cost C ' ( q ) at q = 2000 that is to find the slope of the cost function at q = 2000 . C ' ( q ) = △ C △ q From the table, Marginal cost at q = 2000 is C ' ( 2000 ) = 3825 − 3640 2500 − 2000 = 185 500 = 0.37 The marginal cost at q = 2000 is 0.37 / ton . Marginal cost at q = 1000 is C ' ( 1000 ) = 3200 − 2500 1500 − 1000 = $ 1

6th Edition

ISBN: 9781119399353

Author: DA

Publisher: JOHN WILEY+SONS,INC.-CONSIGNMENT

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Question

Chapter 2.5, Problem 7P

To determine

To estimate:

The marginal cost at q=2000, give its units and interpret the answer in terms of cost and find approximately what production level does marginal cost appear smallest.

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Chapter 2.5, Problem 6P

Chapter 2.5, Problem 8P

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Chapter 2 Solutions

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Knowledge Booster

To estimate: The marginal cost at q = 2000 , give its units and interpret the answer in terms of cost and find approximately what production level does marginal cost appear smallest.

Solution Summary: The author calculates the marginal cost at q=2000 to find the slope of the cost function.

To estimate:

The marginal cost at q=2000, give its units and interpret the answer in terms of cost and find approximately what production level does marginal cost appear smallest.

Want to see the full answer?

Chapter 2 Solutions

To estimate: The marginal cost at q = 2000 , give its units and interpret the answer in terms of cost and find approximately what production level does marginal cost appear smallest.

Solution Summary: The author calculates the marginal cost at q=2000 to find the slope of the cost function.

To estimate: The marginal cost at q=2000, give its units and interpret the answer in terms of cost and find approximately what production level does marginal cost appear smallest.

Want to see the full answer?

Chapter 2 Solutions

To estimate:

The marginal cost at q=2000, give its units and interpret the answer in terms of cost and find approximately what production level does marginal cost appear smallest.