5. Draw a set of coordinate axes on a piece of graph paper. Label the x axis“Output” (0 to 20 units) and the y axis “Cost” (0 to 20 units). Plot the following (x, y) points on your graph: (0, 4); (2, 6); (4, 7); (7, 8); (9, 9); (11, 11); (13, 14). Connect these points with a smooth curve and label it “Total Cost.” Working from this curve, construct a total fixed cost curve and total variable cost curve for the same firm.

6. Draw a second set of coordinate axes on another piece of graph paper. Label the horizontal axis “Output” (0 to 20 units) and the vertical axis “Cost per Unit” (0 to 2 units, in tenths of a unit). Using as a basis the total cost, total variable cost, and total fixed cost curves you drew for Problem 5, construct the following curves on your new graph: marginal cost, average total cost, average variable cost, and average fixed cost.

Answer rating: 100% (QA)

ANSWER Q C TFC TVC ATC AVC AFC MC 0 4 4 0 2 6 4 2 300 100 200 100 4 7 4 3 175 ... View the full answer