Use the equations in Exercise 11.14 to make rough sketches of cost and marginal cost as functions

Question:

Use the equations in Exercise 11.14 to make rough sketches of cost and marginal cost as functions of output Q.

Exercise 11.14

A firm has this cost function:image text in transcribed

where Q is output (the number of items produced) and C is the total cost of producing these items. The marginal cost MC isimage text in transcribed

a. What is the marginal cost at Q = 0?

b. At Q = 0, is the slope of the marginal cost function positive or negative?

c. Does the slope of the marginal cost function increase or decrease as Q increases?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Question Posted: