Question
suppose that total cost is given by TC = 200 + 5Q 0.4Q2 + 0.001Q3 Select one: a. Fixed cost is 200 b. Average
suppose that total cost is given by TC = 200 + 5Q – 0.4Q2 + 0.001Q3
Select one:
a. Fixed cost is 200
b. Average variable cost (AVC) is 5 – 0.4Q + 0.001Q2
c. All of the above are correct
d. Variable cost (VC) is 5Q – 0.4Q2 + 0.001Q3
e. Marginal cost (MC) is 5 – 0.8Q +.003Q2
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Microeconomics
Authors: Douglas Bernheim, Michael Whinston
2nd edition
73375853, 978-0073375854
