Total Cost

tex12gage
TotalCostChart.xlsx

Hint

ECN 201 Week 5 Assignment Oct-14
Hints
Units of Output TC TFC TVC ATC AFC AVC MC
0 20 20 0 - - - 0
1 21 20 1 21 20 1 1
2 24 20 4 12 10 2 3
3 32 20 12 4 8
4 20 12
5 75 20
6 20 16
7 20 24
8 20 86
9 20 360
Notes: The numbers in red are given in the assignment. The numbers in black are calculated using the information
in your book.
Since TVC = 1 for 1 unit of output, TC for 1 unit of output = 21.
Since MC = change in TC for a 1 unit change in output, MC for the 1 unit of output = 1.
See the calculations on page 156 and 159 in your book.
Now, finish the table.