The total cost of producing x units of a certain commodity is C(x) thousand dollars, where $C(x) = x^3 - 16x^2 + 171x + 162$ The average cost function is $A(x) = \frac{C(x)}{x}$. For what values of x is A(x) increasing? For what values is it decreasing?
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Step 1: Find the average cost function $A(x)$: $A(x) = \frac{C(x)}{x} = \frac{x^3 - 16x^2 + 171x + 162}{x} = x^2 - 16x + 171 + \frac{162}{x}$ Show more…
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