Each graph illustrates three short-run cost curves for firms, where ATC is average total cost (also referred to as average cost), MC is marginal cost, and AVC is average variable cost. Please classify each of the graphs as valid or invalid based on what you know about the relationships between these curves. Valid Invalid Graph A Скаph B MC мС AVe ATC AVC ATC Ougut Outut Graph D Graph C мс мC AIC ATC AVC AVC Otut Outut Graph F Graph E мC мC AVC ATC ATC AVC Ouut Outut Answer Bank

Let F be the fixed cost of production, let VC be the variable cost of production, C be the total cost, MC be the marginal cost, AFC, the average fixed cost, AVC, the average variable cost, and AC, the average cost. Complete the following cost table. (Enter numeric responses rounded to two decimal places.) Output (q) 12 3 4 5 6 7 8 9 10 F $100 100 100 100 100 100 100 100 100 VC $32 56 72 80 96 C MC $132 $32 156 24 172 16 8 16 24 196 220 152 252 192 292 240 340 296 40 48 56 AFC AVC AC $100.00 $32.00 $132.00 50.00 28.00 78.00 33.33 24.00 25.00 20.00 45.00 20.00 39.20 16.67 36.67 14.29 36.00 36.50 37.78 20.00 21.71 24.00 11.11 26.67 10.00 29.60

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Douglas Fur is a small manufacturer of fake-fur boots in San Diego. The following table shows the company’s total cost of production at various production quantities. On the following graph, plot Douglas Fur’s average total cost (ATC) curve using the green points (triangle symbol). Next, plot its average variable cost (AVC) curve using the purple points (diamond symbol). Finally, plot its marginal cost (MC) curve using the orange points (square symbol). (Hint: For ATC and AVC, plot the points on the integer; for example, the ATC of producing one pair of boots is $210, so you should start your ATC curve by placing a green point at (1, 210). For MC, plot the points between the integers: For example, the MC of increasing production from zero to one pair of boots is $90, so you should start your MC curve by placing an orange square at (0.5, 90).) Note: Plot your points in the order in which you would like them connected. Line segments will connect the points automatically.