Question
1.The (total) cost function is given by C = 50 + 60 Q - 18 Q 2 + 2 Q 3 AC:- AC(Q) = C/Q
1.The (total) cost function is given by C = 50 + 60Q - 18Q2 + 2Q3
AC:-AC(Q) = C/Q = 50/Q + 60 - 18Q + 2Q^2.
AVC:-AVC(Q) = VC/Q = 60 - 18Q + 2Q^2.
MC:-MC(Q)=C (Q)=60-36Q+6Q^2
a.Draw a graph to illustrate AC, AVC, and MC functions for quantities Q on the interval between 1 and 10. Make sure you show (put the numbers there) where exactly the MC curve intercepts AVC and AC curves. (1)
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Risk Management And Insurance
Authors: Scott E Harrington, Greg Niehaus
2nd Edition
0072339705, 9780072339703
