Question

rmation on fixed and variable costs in 1(b) please fill in the table below. The numbers olumns should be identical to the last two columns in your table in number 1 in the last two columns should be identical to above. Average Average Fixed Variable Workers Output Cost Cost Average Total Cost Marginal Cost 155 Using the numbers in your table above graph average fixed costs, average variable costs, average total costs, and marginal costs. Marginal cost should be graphed at the mid-point between the different levels of output (10,35, 70, 105, etc.) $$$ Output

please explain question 2 .

Answer 1

Workers	Output	AFC	AVC	ATC	MC
0	0	0	0	0	0
1	20	200	100	300	5
2	50	100	50	150	3.3
3	90	66.6	33.3	99.9	2.5
4	120	50	25	75	3.3
5	140	40	20	60	5
6	150	33.3	16.6	49.6	10
7	155	28.5	14.2	42.8	20

Here,

Average Fixed Cost or AFC = Fixed Cost / Q

Average Variable Cost or AVC = Variable Cost / Q

Average Total Cost or ATC = AFC + AVC

Marginal Cost = Change in TC / Change in Quantity

Change in TC can be measured by TC1 - TC0

Here, Fixed cost is 200 and Variable cost is 100. ( given in the question 1(b) )

For the graph, you can plot this points on the graph.

Hope this helps...!!!