Show mathematically that the MC curve intersects the AVC curve and the AC curve at the minimum point. MC=2/3y AVC=y/3 AC...
Show mathematically that the MC curve intersects the AVC curve and the AC curve at the minimum point.
MC=2/3y
AVC=y/3
AC=y/3+6/y
Homework Answers
To find the Minimum point of AVC and AC, differentiate them and equate to zero.
dAVC/dy= 1/3=0
So AVC is minimum at y=0
AVC at y=0 is 0
dAC /dy= 1/3-6/y^2=0
1/3= 6/y^2
y^2= 18
y=√18= 4.243
AC is minimum at y= 4.243
AC at y=4.243 is 4.243/3 +6/4.243= 2.828
Now check the value of MC at y=0 and y= 4.243
MC=0/3= 0 = AVC when y=0
MC= 2*4.243/3= 2.828 =AC when y=4.243
So MC intersect AVC and AC at the minimum point
Add Answer to:
Show mathematically that the MC curve intersects the AVC curve and the AC curve at the minimum point. MC=2/3y AVC=y/3 AC...
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