Question

Calculate the following :
Quantity / total fixed cost /Total variable cost / Total cost / Average cost/ Marginal cost
25 10 18 ? ? ?
26 10 20 ? ? ?
27 10 21 ? ? ?

Answer 1

Q       TFC     TVC     TC     ATC      MC

25      10         18       28     1.12       0

26      10          20      30      1.15      2

27      10          21      31      1.15      1

Where Q=quantity

TFC=total fixed cost

TVC=total variable cost

TC= total cost

ATC=average total cost

MC=marginal cost

$TC=TFC+TVC, ATC=TC/Q, MC=\Delta TC/\Delta Q.$