Module 4 Work

# Module 4 Work - a Calculate the total fixed costs total...

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average fixed costs, average variable costs, average total costs, and marginal costs. average total cost and average variable cost? Information Needed Total Output Cost TFC TVC AFC AVC ATC 0 \$20.00 10 \$40.00 20 \$60.00 30 \$90.00 40 \$120.00 50 \$180.00 60 \$280.00 Information Used Total Output Cost TFC TVC AFC AVC ATC 0.00 20.00 20.00 0.00- - - 10.00 40.00 20.00 20.00 2.00 2.00 4.00 20.00 60.00 20.00 40.00 1.00 2.00 3.00 30.00 90.00 20.00 70.00 0.67 2.33 3.00 40.00 120.00 20.00 100.00 0.50 2.50 3.00 50.00 180.00 20.00 160.00 0.40 3.20 3.60 60.00 280.00 20.00 260.00 0.33 4.33 4.67 A. See information used B. a. Calculate the total fixed costs, total variable costs, b. Plot each of the cost curves. c. At what quantity of output does marginal cost equal \$8.00 \$10.00 \$12.00

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C. When viewing the cost schedules, I have highlighted for you in red where MC=AVC & in This can also be viewed in my graph below, the only number to be considered where they 0 10 20 30 40 50 60 70 \$0.00 \$2.00 \$4.00 \$6.00 0.00 10.00 20.00 30.00 40.00 50.00 60.00 70.00 0.00 2.00 4.00 6.00 8.00 10.00 12.00 ATC AVC MC Ou P r i c e P r i c e
MC MC - 2.00 *MC=AVC 2.00 *MC=ATC 3.00 3.00 6.00 10.00 AVC

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yellow where MC=ATC y are all equal(MC=AVC &ATC, highlighted in green on cost schedule) is 0 ATC MC AFC utput
3 Explain what happens to ATC when MC > ATC, MC < ATC, and MC = ATC Information Needed Total Output Cost TFC TVC AFC AVC ATC 0 \$100.00 1 \$150.00 2 \$225.00 3 \$230.00 4 \$300.00 5 \$400.00 Information Used Total Output

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Module 4 Work - a Calculate the total fixed costs total...

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