1. Short run costs for the firm. Consider a firm with the following Fixed Costs and Marginal Costs Q 0.00 1.00 2.00 3.00 4.00 5.00 6.00 7.00 8.00 TFC 15.00 a) Total Costs i. TVC TC MC 3.00 2.00 1.00 2.00 5.00 9.00 14.00 20.00 AFC AVC ATC Fill in the blanks for TVC and TC. Construct a graph that generally illustrates the relationship between TVC, TFC, and TC curves (Note: you need not plot the entries in table 1. Just show the correct curve shapes and interrelationships)

ENGR.ECONOMIC ANALYSIS
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ISBN:9780190931919
Author:NEWNAN
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Chapter1: Making Economics Decisions
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1. Short run costs for the firm. Consider a firm with the following Fixed Costs and
Marginal Costs
Q
0.00
1.00
2.00
3.00
4.00
5.00
6.00
7.00
8.00
TFC
15.00
a) Total Costs
i.
TVC
TC
MC
3.00
2.00
1.00
2.00
5.00
9.00
14.00
20.00
AFC
AVC
ATC
Fill in the blanks for TVC and TC. Construct a graph that generally
illustrates the relationship between TVC, TFC, and TC curves (Note: you
need not plot the entries in table 1. Just show the correct curve shapes and
interrelationships)
Transcribed Image Text:1. Short run costs for the firm. Consider a firm with the following Fixed Costs and Marginal Costs Q 0.00 1.00 2.00 3.00 4.00 5.00 6.00 7.00 8.00 TFC 15.00 a) Total Costs i. TVC TC MC 3.00 2.00 1.00 2.00 5.00 9.00 14.00 20.00 AFC AVC ATC Fill in the blanks for TVC and TC. Construct a graph that generally illustrates the relationship between TVC, TFC, and TC curves (Note: you need not plot the entries in table 1. Just show the correct curve shapes and interrelationships)
ii. On this graph, show how MC may be illustrated (at any arbitrary
point)
Transcribed Image Text:ii. On this graph, show how MC may be illustrated (at any arbitrary point)
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