A firm manufactures a commodity at two different factories. The total cost of manufacturing depends on the quantities x and y supplied by each factory and is expressed by the joint cost function: C = f(x, y) = 2x 2 + xy + 2y 2 + 500 The company’s objective is to produce 200 units, while minimizing production costs. How many units should be supplied by each factory

Question:

A firm manufactures a commodity at two different factories. The total cost of manufacturing depends on the quantities x and y supplied by each factory and is expressed by the joint cost function: C = f(x, y) = 2x 2 + xy + 2y 2 + 500 The company’s objective is to produce 200 units, while minimizing production costs. How many units should be supplied by each factory

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