Question
Suppose a cost function of c=f+c*q, where f is the fixed cost equal to 50 million; c is the constant marginal cost equal to $0.50,
Suppose a cost function of c=f+c*q, where f is the fixed cost equal to 50 million; c is the constant marginal cost equal to $0.50, and q is output. Calculate the average total cost at q=1,000,000; q=10,000,000 and q=50,000,000
How is this calculated? I need help. Thank you.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
Managerial Economics Foundations of Business Analysis and Strategy
Authors: Christopher Thomas, S. Charles Maurice
12th edition
1260004759, 9781260004755, 78021715, 78021718, 78021901, 978-0078021909
