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Use the following table to answer the questions listed below.Total Output Cost TFC TVC AFC AVC ATC MC
0 $2010 $ 4020 $ 6030 $ 9040 $12050 $18060 $280
a. Calculate the total fixed costs, total variable costs, average fixed costs, average variable costs, average total costs, and marginal costs.
b. Plot each of the cost curves.
c. At what quantity of output does marginal cost equal average total cost and average variable cost?
d. Using the table in exercise 1, explain what happens to ATC when MC > ATC, MC e. Using the table in exercise 2, find the quantity where MC = ATC. Find the quantity where ATC is at its minimum. Find the quantity that is the most efficient operating point for the firm.
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