If the average cost function of a good is15AC = +20 + 11'이find the fixed costs and an expression for the marginal cost function.The fixed costs are(Type a whole number.)The expression for the marginal cost function is(Simplify your answer. Type an expression using Q as the variable.)

Total cost is the sum of fixed and variable costs. Variable costs change according to the quantity…

Answered: (Type a whole number.) The expression…

(Type a whole number.) The expression for the marginal cost function is (Simplify your answer. Type an expression using Q as the variab

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

19.
Find the marginal & the average functions for each of the following total function, evaluate them at Q= 3 & Q=5? 1. T = Q - 13 Q +78 2. TR =12Q-Q
How to calculate the Average cost of producing 1, 2,...15
The total cost function is : C= 2x3+4x2+2 Find the marginal cost of C?
What are the functions for MC and AC if TC = 100q + 100q2? Are the returns to scale increasing, decreasing, or constant?
You are given a cost function of TC(Q)= 10,000+ 20 Q Assume Q = 500, initially. What higher Q would cause average cost to be reduced by 25%? a. 1,000 c. b. 2,000 d. 700 600
A T-shirt screener can screen t-shirts (q) in two different ways. He can either use a fast screening machine (F) or a slow screening machine (S). Screen use is defined in terms of ”hours” running. His production function is f(F, S) = 10F + 6S. (a) The screener wants to be able to produce 120 shirts. List three feasible and efficient production plans (combinations of inputs) for doing this. (b) Graph the screener’s isoquant curve for q = 120. (c) The hourly cost of using the fast machine is $800 and the hourly cost of the slow machine is $200. What is the cost minimizing (optimal) combination of inputs for producing 120 shirts? (d) Suppose the screener must now produce 400 shirts. What is the cost minimizing combination of inputs?
Ten-year old Sarah is starting a lemonade stand, she uses baskets of lemons (L) and other ingredients (O). She is able to produce lemonade according to the production function f(L, O) = 1 2 L 2O. The cost of a basket of lemons is $10 and the average cost of the other goods is $4. (a) Derive MPL and MPO. (b) Currently Sarah is using 4 baskets of lemons and 40 units of the other goods. Using this information, calculate MPL and MPO. (c) True/False. At her current use of inputs Sarah is minimizing costs. If true, explain why. If false, what would you recommend Sarah do? (d) Sarah wants to produce 320 units of lemonade. Determine the cost minimizing combination of inputs to use. (e) Assuming no changes in the market price of lemonade nor in the prices of the inputs, if Sarah continues to produce 320 units of lemonade in the long run, what will Sarah’s long run costs be.
Consider an airline's decision about whether to cancel a particular flight that hasn't sold out. The following table provides data on the total cost of operating a 100-seat plane for various numbers of passengers. Total Cost Number of Passengers (Dollars per flight) 40,000 10 60,000 20 65,000 30 68,000 40 70,000 50 71,000 60 72,500 70 73,500 80 74,000 90 74,300 100 74,500 Given the information presented in the previous table, the fixed cost to operate this flight is s At each ticket price, a different number of consumers will be willing to purchase tickets for this flight. Assume that the price of a flight is fixed for the duration of ticket sales. Use the previous table as well as the following demand schedule to complete the questions that follow. Price Quantity Demanded (Dollars per ticket) (Tickets per flight) 1,000 700 30 400 90 200 100
The manager of a T-shirt stand found that the cost to produce 10 T-shirts is $105.68, while the cost to produce 40 T-shirts is $402.98. Assume the cost C(x) is a linear function of x, the number of T-shirts produced. Calculate the marginal cost of a T-shirt, that is, the change in cost of producing one additional T-shirt. (Round to 2 decimal places)
The production costs per week for producing x widgets is given by the function: C(x) = 500 + 10x +32 x 2. What is the marginal cost when x= = 300
Diminishing returns A cost function of the form C(x) = 1/2 x2reflects diminishing returns to scale. Find and graph the cost,average cost, and marginal cost functions. Interpret the graphs andexplain the idea of diminishing returns.