Question: [Minimum Average cost]

When x gallons of Exall are produced, the average cost per gallon is AC(x) dollars, where,

where x > 0.

1. Find the output quantity x* at which the average cost attains its minimum.
2. Compute the minimum average cost per gallon.
3. Find the marginal cost per gallon at the output x*.
   Hint: You need to first compute the total cost of producing x units using the average cost function and then take derivative to find the marginal cost.
4. Verify the marginal cost at x* is the same as the minimum average cost.

Price: $2.99

Solution: The downloadable solution consists of 2 pages
Deliverable: Word Document