Carlota Music Company estimates that the marginal cost of manufacturing its Professional Services guitars in dollars/month by the following. This model assumes that the level of production is x guitars/month.

Question

C '(x) = 0.007x + 130
The fixed costs incurred by Carlota are $9500/month. Find the total monthly cost incurred by Carlota in manufacturing x guitars/month.
C(x) =

Answer 1

C(x)=(0.007/2)x^2 + 130x
C(x) =0.0035x^2 +130x +9500