Minimizing cost

Question

The cost per unit (in dollars) to manufacture a total of q units of a given product given by:

 

C(q)= 0.25q²   -42.5q +1807.5

 

(a) What is minimum cost per unit?

(b) How many units should be manufactured in order to minimize the cost per unit?

 

Answer 1

Lets answer part b first.

 

Find the x-coordinate of the vertex of this parabola using the formula                  q = -b / (2a)

 

where:

a = 0.25

b = -42.5

 

 

Part a)

 

Evaluate C(q) at the answer from the previous part.