Wk6_Section_07 - Week 6 Section Notes EWMBA201A Rob Seamans...

Info iconThis preview shows pages 1–6. Sign up to view the full content.

View Full Document Right Arrow Icon
September 16, 2007 Week 6 Section Notes 1 Week 6 Section Notes EWMBA201A Rob Seamans
Background image of page 1

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
September 16, 2007 Week 6 Section Notes 2 Administrative Stuff 1. Recap of evaluations 2. Sunk costs and the mid-term exam 3. Read and prepare Colonial Homes case for next class
Background image of page 2
September 16, 2007 Week 6 Section Notes 3 Recap of Costs Sunk Costs “Don’t worry about things you cannot change” Opportunity Costs “Always know what ALL your options are” Over the relevant time horizon… Total Costs: C(q) Fixed Costs: Not dependant on quantity produced: C(0) Variable Costs: C(q)-C(0) Marginal Costs: Cost of increasing q by a small amount: dC(q)/dq Average Total Costs: C(q)/q Average Variable Costs: vC(q)/q
Background image of page 3

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
September 16, 2007 Week 6 Section Notes 4 Thought Exercise What’s the difference between average cost and marginal cost? Between average variable cost and marginal cost?
Background image of page 4
September 16, 2007 Week 6 Section Notes 5 Thought Exercise What’s the difference between average cost and marginal
Background image of page 5

Info iconThis preview has intentionally blurred sections. Sign up to view the full version.

View Full DocumentRight Arrow Icon
Image of page 6
This is the end of the preview. Sign up to access the rest of the document.

Page1 / 11

Wk6_Section_07 - Week 6 Section Notes EWMBA201A Rob Seamans...

This preview shows document pages 1 - 6. Sign up to view the full document.

View Full Document Right Arrow Icon
Ask a homework question - tutors are online