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प्रश्न
Answer the following question.
The cost function of a firm is given below
| Output | 0 | 1 | 2 | 3 | 4 |
| Total cost | 100 | 250 | 370 | 550 | 740 |
Calculate:
(i) AFC
(ii) AVC
(iii) MC
उत्तर
| Output | TC | FC | AFC | VC | AVC | MC |
| 0 | 100 | 100 | - | - | - | - |
| 1 | 250 | 100 | 100 | 150 | 150 | 150 |
| 2 | 370 | 100 | 50 | 270 | 135 | 120 |
| 3 | 550 | 100 | 33.3 | 450 | 150 | 180 |
| 4 | 740 | 100 | 25 | 640 | 160 | 190 |
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संबंधित प्रश्न
What is the relation between marginal cost and average variable cost when marginal cost is rising and average variable cost is falling?
Draw Average Variable Cost, Average Total Cost ad Marginal Cost curves in a single diagram.
What is the relation between Average Variable Cost and Average Total Cost, if Total Fixed Cost is zero?
What happens to the difference between Average Total Cost and Average Variable Cost as production is increased?
State the relation between MC curve and AVC and ATC curves.
Answer the following question.
Explain the relation between the Average Variable Cost (AVC) curve and the Marginal Cost (MC) curve. Use diagram
Explain whether the statement is true or false with reasons.
Total cost curve and Total variable cost curve are parallel to each other.
What is meant by the break-even point?
Draw a well-labelled diagram to show the break-even point.
