Question: A firm has the short run cost function c (y) = y 3 - 2 y 2 + 5 y + 6. a) Calculate the

A firm has the short run cost function c (y) = y3- 2 y2 + 5 y + 6.

a) Calculate the average variable cost.

b) Calculate the marginal cost.

c) Find the output level that minimizes the average variable cost.

d) Draw (roughly, just to see the general shape) the variable cost curve

average and the marginal cost curve on the same graph.

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