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4. The total cost of producing \( x \) kllos of a product ls given by \( C=40+100 \sqrt{x} \) (a) What will be the margioal cost, when the output is 1,600 kilos? (b) What will be the output, when marginal cost is Rs, 0,50 per kllo?

Ask by Davey Crawford. in Pakistan
Feb 19,2025

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Answer

(a) The marginal cost when producing 1,600 kilos is Rs. 1.25. (b) When the marginal cost is Rs. 0.50 per kilo, the output is 10,000 kilos.

Solution

To solve the problem, we need to find the marginal cost from the total cost function given by \[ C = 40 + 100 \sqrt{x} \] ### Step 1: Find the Marginal Cost Function The marginal cost (MC) is the derivative of the total cost (C) with respect to the quantity produced (x). Let's calculate the derivative \( \frac{dC}{dx} \): \[ C = 40 + 100 \sqrt{x} \] Taking the derivative: \[ \frac{dC}{dx} = 0 + 100 \cdot \frac{1}{2\sqrt{x}} = \frac{50}{\sqrt{x}} \] So, the marginal cost function is: \[ MC = \frac{50}{\sqrt{x}} \] ### Step 2: Calculate the Marginal Cost when \( x = 1600 \) Now, we will substitute \( x = 1600 \) into the marginal cost function: \[ MC = \frac{50}{\sqrt{1600}} \] Calculating \( \sqrt{1600} \): \[ \sqrt{1600} = 40 \] Now substituting back: \[ MC = \frac{50}{40} = 1.25 \] ### Step 3: Find the Output when Marginal Cost is Rs. 0.50 per Kilo We need to find \( x \) when \( MC = 0.50 \): \[ 0.50 = \frac{50}{\sqrt{x}} \] To solve for \( x \), we can rearrange the equation: \[ \sqrt{x} = \frac{50}{0.50} = 100 \] Now squaring both sides: \[ x = 100^2 = 10000 \] ### Summary of Results (a) The marginal cost when the output is 1,600 kilos is Rs. 1.25. (b) The output when the marginal cost is Rs. 0.50 per kilo is 10,000 kilos.

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To find the marginal cost, we first need to differentiate the cost function with respect to \( x \). The cost function is given as \( C = 40 + 100 \sqrt{x} \). When we differentiate this, we get: \[ \frac{dC}{dx} = \frac{100}{2\sqrt{x}} = \frac{50}{\sqrt{x}}. \] (a) Now, substituting \( x = 1600 \): \[ \frac{dC}{dx} = \frac{50}{\sqrt{1600}} = \frac{50}{40} = 1.25. \] So, the marginal cost when the output is 1,600 kilos is Rs. 1.25 per kilo. (b) To find the output when the marginal cost is Rs. 0.50 per kilo, we set the marginal cost equal to 0.50: \[ \frac{50}{\sqrt{x}} = 0.50. \] Solving for \( x \): \[ \sqrt{x} = \frac{50}{0.50} = 100 \] \[ x = 100^2 = 10,000. \] Therefore, the output when marginal cost is Rs. 0.50 per kilo is 10,000 kilos.

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