Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

please answer all questions Single panel. 5) Suppose a rm's fixed is equal to 500 and average variable cost function is: AVC = 100 6Q+

please answer all questions

image text in transcribed
Single panel. 5) Suppose a rm's fixed is equal to 500 and average variable cost function is: AVC = 100 6Q+ 0.2Q2 where Qrepresents the amOunt of output produced. a) Calculate following costs: (i) Variable cost; (ii) Average xed cost; (iii) Average variable cost; (iv) Total cost (v) Average cost; and (vi) Marginal cost. b) At what output level average variable cost will be equal to marginal cost? c) At what output level diminishing marginal returns sets in? d) Suppose cost of production is given by C(Q) = 200+ 292, where Q is the level of output. Calculate following costs: (i) Variable cost; (ii) Fixed cost; (iii) Average variable cost; (iv) Average xed cost; (v) Average cost; and (vi) Marginal cost

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Fundamentals of quality control and improvement

Authors: amitava mitra

3rd edition

470226536, 978-1-11849164, 978-0470226537

Students also viewed these Economics questions