Dave's Fresh Catfish is a northern Mississippi farm that operates in the perfectly competitive catfish farming industry. Dave's short-run total cost curve is STC(Q) = 400 + 2Q + 0.5Q2, where Q is the number of catfish harvest per month. The corresponding short-run marginal cost curve is SMC (Q) = 2 + Q. All of the fixed costs are sunk.
(a) What is the equation for the average variable cost ( )?
(b) What is the minimum level of average variable costs?
(c) What is Dave's short-run supply curve?