(G1) 0123ATC300,000250,000200,000150,000100,00050,00000MC, AC1008060402000BCTC (BASE)TC (NEW)H1500 3000 4500 6000 7500 9000MC(NEW)MC(BASE)AC(NEW)AC(BASE)1500 3000 4500 6000 7500 9000 QDBASELINE COSTSTC (BASE)AC (BASE)MC (BASE)ETC (NEW)AC (NEW)MC (NEW)OutputFixed costNEW COSTSTax per unitAC(NEW)-MC(NEW)ANICHIED DINIGQuestionsGo to answer sheetReset to baselinePrintShow Transcribed TextPOLICY VARIABLESFSet all variables to their baseline values.$102,430$25.61$35.56$102,430$25,61$35.564,00025.000$0.00$9.95GH9) At what level of output is average cost a minimum?10) What is average cost (AC) at that output?11) What is marginal cost (MC) at that output?

Average cost, also known as average total cost (ATC), is a financial metric used in economics and…

9 D 1 2 3 4 5 A TC 300,000 250,000 200,000 150,000 100,000 50,000 0 0 MC, AC 100 80 60 40 20 0 0 B C TC (BASE) TC (NEW) Q 1500 3000 4500 6000 7500 9000 MC(NEW) MC(BASE) AC(NEW) AC(BASE) 1500 3000 4500 6000 7500 9000 Q D BASELINE COSTS E TC (BASE) AC (BASE) MC (BASE) TC (NEW) AC (NEW) MC (NEW) Output Fixed cost Questions NEW COSTS Tax per unit AC(NEW)-MC(NEW) POLICY VARIABLES Go to answer sheet Reset to baseline Print ANICHIED DIN I Show Transcribed Text F Set all variables to their baseline values. $102,430 $25.61 $35.56 $102,430 $25.61 $35.56 4,000 25,000 $0.00 $9.95 G H 9) At what level of output is average cost a minimum? 10) What is average cost (AC) at that output? 11) What is marginal cost (MC) at that output?

9 D 1 2 3 4 5 A TC 300,000 250,000 200,000 150,000 100,000 50,000 0 0 MC, AC 100 80 60 40 20 0 0 B C TC (BASE) TC (NEW) Q 1500 3000 4500 6000 7500 9000 MC(NEW) MC(BASE) AC(NEW) AC(BASE) 1500 3000 4500 6000 7500 9000 Q D BASELINE COSTS E TC (BASE) AC (BASE) MC (BASE) TC (NEW) AC (NEW) MC (NEW) Output Fixed cost Questions NEW COSTS Tax per unit AC(NEW)-MC(NEW) POLICY VARIABLES Go to answer sheet Reset to baseline Print ANICHIED DIN I Show Transcribed Text F Set all variables to their baseline values. $102,430 $25.61 $35.56 $102,430 $25.61 $35.56 4,000 25,000 $0.00 $9.95 G H 9) At what level of output is average cost a minimum? 10) What is average cost (AC) at that output? 11) What is marginal cost (MC) at that output?

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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