Question: A) A firm has an average cost function AC(Q)=Q-30+10 i. ii. Write down the equations for TC and MC. (6 marks) Determine the values

A) A firm has an average cost function AC(Q)=Q-30+10 i. ii. Write

A) A firm has an average cost function AC(Q)=Q-30+10 i. ii. Write down the equations for TC and MC. (6 marks) Determine the values of Q at which (a) MC and (b) AC are minimised. (7 marks) B) For each of the following functions, Total revenue: TR(Q)=960-20 (4 marks) Profit: (0)=-Q +25Q-12 (4 marks) Average cost: AC(O)=20-120+225 (4 marks) (1) find the critical value(s), (2) test whether the critical point(s) are minimum or maximum and (3) find the maximum/ minimum value(s) of each function at their critical value(s).

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A i The total cost function can be derived from the average cost function by multiplying by the quantity Q TCQ Q ACQ Q Q2 3Q 10 Q3 3Q2 10Q The margina... View full answer

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