A firms total cost curve is TC = Q 3 60Q 2 + 910Q + 150.

Question:

A firm’s total cost curve is TC = Q³ – 60Q² + 910Q + 150. Its marginal cost is 3Q² – 120Q + 910.

a. Find the firm’s fixed cost, variable cost, average total cost, and average variable cost.

b. Find the output level at which average variable cost is minimized.

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Microeconomics

ISBN: 9781319105563

3rd Edition

Authors: Austan Goolsbee, Steven Levitt, Chad Syverson

See More Books

Question Posted: Feb 21, 2020 12:11 PM

See More Questions

Use the total cost curve below to answer the following questions. a. For what values of output is marginal product of labor decreasing? What is true about marginal cost over this range of output? b....
True or False: 1. Variable costs vary with the level of output, while fixed costs do not. 2. Marginal cost shows the change in total costs associated with a change in output by one unit, or the cost...
True or False: 1. The average total cost curve is usually U-shaped. 2. The declining average variable cost curve is primarily responsible for the falling segment of the average total cost curve. 3....
For the following project please follow the below guidelines unless otherwise stated by your instructor. Worth 20% of the total grade. Read and follow all instructions in order to receive full...
Find v(t) for t > 0 in the circuit of Fig. 7.125 if the initial current in the inductor is zero. 4ut)
Describe what you think should be done with the NSA's PRISM program. Should it be continued without change, given more public oversight, substantially reduced in functionality, or discontinued...
An insurance company, Riskmore, has four divisions: car, home, personal and miscellaneous. These four divisions account, respectively, for 40%, 30%, 20% and 10% of sales and 25% each of the variable...
The director of security wants to connect security video cameras to the main control site from five potential trouble locations. Ordinarily, cable would simply be run from each location to the main...
During 2020, FTrike, a foreign subsidiary, distributes a $10 million dividend to Trikeco, a U.S. C corporation. Assume that the U.S. corporate tax rate is 21% and the dividend incurs a withholding...
Taxation of reorganizations & liquidations dividends ABC Corp (ABC) was formed 15 years ago by Able and Body (2 individuals). ABC uses the cash method of accounting and reports on a calendar year...
A Toyota Corolla costs $18,700 and has average highway fuel economy of 36 miles per gallon (mpg). A Toyota Prius costs $23,700 and offers average highway fuel economy of 50 mpg. a. Assuming gas costs...
Tyson Chicken produces both thighs and wings. When it produces 150 thighs and no wings, its total cost is $600. When Tyson produces 150 wings and no thighs, its total cost is $400. And when Tyson...
A 70-kg man and a 50-kg woman are in a 60-kg boat when its motor fails. The man dives into the water with a horizontal speed of 3 m/s in order to swim ashore. If he changes his mind, can he swim back...
A vertical solid cylinder of uniform cross-sectional area A floats in water. The cylinder is partially submerged. When the cylinder floats at rest, a mark is aligned with the water surface. The...
Non-manufacturing fixed cost for year 2011 equal to:$60,780 out of which half are Administrative expenses.Administrative expenses are expected to increase by: 10%The total Variable nonmanufacturing...
Q13. The probability that Ryan will roll a three using a standard die is 1/6. Let Y = number of times that Ryan has to roll a die in order to roll the first three. What is the expected value for Y?...
1. The following are data for two IT projects for a new database system. Prepare a spreadsheet for two projects, using the following data. Amounts are in thousands of dollars. Calculate the NPV for...
The Matsui Lubricants plant uses the weighted-average method to account for its work-in-process inventories. The accounting records show the following information for a particular day: Beginning WIP...
Sally owns real property for which the annual property taxes are $9,000. She sells the property to Kate on March 9, 2019, for $550,000. Kate pays the real property taxes for the entire year on...
A handrail, which weighs 120 N and is 1.8 m long. was mounted to a wall adjacent to a small set of steps (Figure P4.26). The support at A has broken, and the rail has fallen about the loose bolt at 8...
Two organic emu ranchers, Bill and Ted, serve a small metropolitan market. Bill and Ted are Cournot competitors, making a conscious decision each year regarding how many emus to breed. The price they...
Suppose that in a particular market, the inverse demanded for hasenpfeffer is given by P = 100 - Q. The market is served by two Cournot competitors, Hansel and Gretel, whose quantities are denoted qH...
The market for nutmeg is controlled by two small island economies, Penang and Grenada. The market demand for bottled nutmeg is given by P = 100 - qP - qG, where qP is the quantity Penang produces and...
Burger King recently launched Real Meals in select markets to deliver an important message about mental health. Real Meals come in five varieties, including a Pissed Meal (for when youre mad) and a...
If banks suffer loan losses in excess of their loan-loss-reserves, their Capital Adequacy is unaffected. Select an answer and submit. For keyboard navigation, use the up/down arrow keys to select an...
The xyz company is considering replacing a current drill press with a new computer-operated model. The protected net operating cash flows for both presses for the next 4 years from today are listed...

A firms total cost curve is TC = Q 3 60Q 2 + 910Q + 150.

Question:

Step by Step Answer:

a Fixed cost does not depend on output and exists even when Q 0 So substitut...View the full answer

Microeconomics

Students also viewed these Business questions