3) ProPainters hires students at $100 a week to paint houses.  It leases equipment at $1000 a week.  The table sets out its total product schedule.

  Labour                                                                                            Output

(students)                                                                        (houses painted per week)     

 1                                 2                

 2                                 5

 3                                9

4                                 12

5                                  14

6                                   15

a.  If Propainters paints 12 houses a week, calculate its total cost, average total cost, and marginal cost.(3)

b.  At what output is average total cost a minimum?             

Answer rating: 100% (QA)

Cost Schedule Labour students Output TFC TVC 100 per labour Total Cost MC Change in costc... View the full answer