Problem IV

The cost function of a firm is given by $TC=FC+5Q+2\mathrm{.}5Q^2,$ where FC represents the fixed cost and $Q$ is the quantity produced of output.

a$.$ Select a fixed cost FC $($no decimal$)$ of your choice within the range $($$$100$;$$1,000)$

b$.$ Determine the average total cost of producing $10$ units of output. Show your work!

c$.$ Determine the marginal cost $(MC)$ of producing the ${11}^{th}$ unit of output. Hint: Use the change formula, do NOT use derivative. Show your work!