The chief economist for Argus Corporation, a large appliance manufacturer, estimated the firm’s short-run cost function for vacuum cleaners using an average variable cost function of the form AVC = a + bQ + cQ2 where AVC = dollars per vacuum cleaner and Q = number of vacuum cleaners produced each month. Total fixed cost each month is $180,000. The following results were obtained: DEPENDENT VARIABLE:  AVC R-SQUARE F-RATIO P-VALUE ON F OBSERVATIONS: 19  0.7360  39.428   0.0001           VARIABLE   PARAMETER  ESTIMATE STANDARD ERROR T-RATIO P-VALUE INTERCEPT  191.93 54.65  3.512  0.0029 Q  -0.0305 0.00789  23.866   0.0014 Q2  0.0000024  0.00000098  2.449   0.0262 d) If Argus Corporation produces 10,000 vacuum cleaners monthly, what is the estimated average variable cost?

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