The short-run cost function of a company is given by the equation TC = 200 + 55q, where TC s the total cost and q is the total quantity of output, both measured in thousands. a) What is the company's fixed cost? b) If the company produced 100,000 units of good, what would be its average variable cost? c) What would be its marginal cost of production? d) What would be its average fixed cost?

The short-run cost function of a company is given by the equation TC = 200 + 55q, where TC s the total cost and q is the total quantity of output, both measured in thousands. a) What is the company's fixed cost? b) If the company produced 100,000 units of good, what would be its average variable cost? c) What would be its marginal cost of production? d) What would be its average fixed cost?

Survey Of Economics

10th Edition

ISBN:9781337111522

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter6: Proudction Costs

Section: Chapter Questions

Problem 8SQ

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The short-run cost function of a company is given by the equation TC=200+55q, where TC is the total cost and q is the total quantity of output, both measured in thousands. What is the company’s fixed cost? If the company produced 100,000 units of goods, what is its average variable cost? What is its marginal cost per unit produced? What is its average fixed cost?
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