Boeing is considering two different production technologies for its new airplane. If it chooses technology A, its costs will be C1(q) = 1000+ 10q + 6q^2 (costs are denominated in millions of dollars). If it chooses technology B, its costs will be C2(q) = 500 + 160q + 0.4q^2 .

(a) What are the marginal costs for both production technologies when q = 20?

(b) What are the average cost functions for both technologies?

(c) What is Boeing's long-run average cost curve? Write it down in an equation and draw a graph. (Hint: it may be useful to first plot the functions using Excel or a graphing utility.)

(d) Which technology minimizes Boeing's costs for each level of output? Your answer should be a piecewise function.