A.) The cost function the produce wood: TC = 0.01q^2 + 0.1q + 4

Where q is in pounds. The market price of a pound of firewood is $2.50. What is the profit maximizing quantity of firewood? Make sure to show your work.

B. Fill in the blanks in the following table, round to the nearest cent. Between what values does that average total cost reach its minimum. Why must this be true? Use Marginal cost and average total cost in your explanation. Plot the marginal cost, average total cost, and average marginal cost with output on the horizontal and cost on the vertical axis.

Average Average Average Output Fixed Variable Total Marginal Fixed Variable Total (thousands) Cost Cost Cost Cost Cost Cost Cost 0 200 235 265 280 295 315 340 370 410 480 620 QDOO'QQCJ'II-h-CDMH H D