An average variable cost function is estimated as AVC = 96-2Q + 0.05Q2. Which of the following cost functions is associated with this estimate? a. MC2Q + 0.1Q2 b. TVC = 96Q- 2Q2 + 0.1Q3 c. TVC = 96Q - 4Q2 +0.15Q3 d. MC = 96 - 4Q+0.15Q2

An average variable cost function is estimated as AVC = 96-2Q + 0.05Q2. Which of the following cost functions is associated with this estimate? a. MC2Q + 0.1Q2 b. TVC = 96Q- 2Q2 + 0.1Q3 c. TVC = 96Q - 4Q2 +0.15Q3 d. MC = 96 - 4Q+0.15Q2

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

An average variable cost function is estimated as
AVC = 96-2Q + 0.05Q2. Which of the following
cost functions is associated with this estimate?
a. MC = -2Q + 0.1Q2
b. TVC = 96Q-2Q2 + 0.1Q3
c. TVC = 96Q - 4Q2 +0.15Q3
d. MC 96-4Q+0.15Q2
=

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