Chapter 4.2, Problem 12E

(a)

To determine

To calculate: The marginal cost function and the rate of increase of cost of Play Station when $x=60,000$ such that its cost is given by the function $C\left(x\right)=800,000+340x+0.0005x^2$ dollars where x is the number of manufacturing Play Station $4\text{'}\text{s}$ in an hour and compare the answer with the cost of producing the $60,{001}^{\text{st}}$ PlayStation $4$.

(b)

To determine

To calculate: The average cost function $\overline{C}$ and $\overline{C}\left(60,000\right)$ such that its cost of PlayStation is given by the function $C\left(x\right)=800,000+340x+0.0005x^2$ dollars where x is the number of manufacturing PlayStation $4\text{'}\text{s}$ in an hour.

(c)

To determine

Whether the average cost is rising or falling at a production of $60,000$ PlayStation $4$ from the answers derived from part (a) and part (b) such that cost of PlayStation is given by the function $C\left(x\right)=800,000+340x+0.0005x^2$ dollars where x is the number of manufacturing PlayStation $4\text{'}\text{s}$ in an hour.