Question: Suppose a competitive firm has cost function: C(q) = a + bq + cq 2 + dq 3 , where a,b,c,d are constants. What is

  1. Suppose a competitive firm has cost function: C(q) = a + bq + cq2 + dq3, where a,b,c,d are constants.
    1. What is the marginal cost function?
    2. What is the firm’s variable and average cost of output, in terms of q?
    3. What is the firm’s fixed cost?
    4. What is the firm’s profit maximization condition?

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