Answer to Question #187142 in Microeconomics for salman

Question

Answer the same questions as in the above problem if:

TC = 120 + 50Q – 10Q² + Q³

Answer 1

As full question is not given , but these types of question require basic , equations

That are TVC,AVC and MC , after these equations further can be solved easily , so

As follows

The equations of the TVC, AVC, and MC functions.

 Calculating TVC

From the TC function, $100 is not affected by output (Q), and hence FC = $100. The remaining part of the function affected by output(Q) is the TVC function.

Thus, $TVC = 50Q-10Q^2+Q3$

Calculating AVC

$AVC = \dfrac {TVC}{Q}$

$= \dfrac {50Q-10Q^2+Q^3}{Q}$

$= \dfrac {Q(50-10Q+Q^2)}{Q}$

$= 50-10Q+Q^2$

Calculating MC

$MC = \dfrac {d}{dQ}(TC)$

$= \dfrac {d}{dQ}(120 + 50Q - 10Q^2 + Q^3)$

$= 50 - 20Q + 3Q^2$