Cost of producing units of a certain commodity is
(a)
\Average rate of change of with respect to
:
(i)
\when production level is changed from to
:
Cost of producing units is
.
Cost of producing units is
.
Average rate of change of from
to
is
Average rate of change of from
to
is
dollars/unit.
(ii)
\When production level is changed from to
:
Cost of producing units in that commodity is
.
Cost of producing units in that commodity is
.
Average rate of change of from
to
is
Average rate of change of from
to
is
dollars/unit.
\
(b)
\Instantaneous rate of change of with respect to
when
:
The derivative is the instantaneous rate of change of
with respect to
at
.
Instantaneous rate of change
Here .
Let
Instantaneous rate of change of when
is
dollars/unit.
\
(a)
\(i) Average rate of change of from
to
is
dollars/unit.
(ii) Average rate of change of from
to
is
dollars/unit.
(b)
\Instantaneous rate of change of when
is
dollars/unit.