Math Problem Statement

Solve the problem.

The total cost of producing x units of a certain commodity is C(x) thousand dollars, where

C(x) = x3 - 14x2 + 163x + 128

The average cost function is A(x) = . For what values of x is A(x) increasing? For what values is it decreasing? Group of answer choices

Increasing; x > 16; decreasing: 0 < x < 16

Increasing; 0 < x < 16; decreasing: x > 16

Increasing; x > 8; decreasing: 0 < x < 8

Increasing; 0 < x < 8; decreasing: x > 8

Solution

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Math Problem Analysis

Mathematical Concepts

Calculus
Derivatives
Cost Functions
Critical Points

Formulas

Average cost function: A(x) = C(x)/x
Derivative of A(x): A'(x) = 2x - 14 - 128/x^2
Critical point: x = 8

Theorems

Derivative Test for Increasing/Decreasing Functions

Suitable Grade Level

Grades 11-12