Cost Function: Fixed, Variable, and Total Costs

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• Accounting expenses computed

  Therefore, the TOTAL COST FUNCTION will be equal to Total cost = Total fixed costs + 1,500X + Total variable labor costs Total cost = 1,765 + 7,500 + 500 = 9,765 This solution is comprised of a detailed explanation to compute the TOTAL COST FUNCTION

• Characteristics of cost functions: fixed, variable, average and marginal

  The total cost function is made up of fixed costs + variable costs. Based on the information provided above: TC (total cost) = FC + VC TC = 150 + 200 * Q - 9 * Q^2 + 0.25 * Q^3 B.

• Wildcat Company

  30,000) = $12 Total mixed costs = fixed costs + (variable cost per unit x activity) 384,000 = fixed costs + (12 x 30,000) Fixed costs = 24,000 Total costs = 496,800 + (56.40 x activity) b. estimate the total cost at 36,000 units of

• Compute the Total Cost Function and Total Cost for the Month

  To find the total cost for the month, we use: Total Cost=$1,570+$1,600C Total Cost=$1,570+($1,600*5) Total Cost=$1,570+$8,000 Total Cost=$9,570 Given a set of fixed and variable costs, this solution illustrates how to build the total cost function

• Profit and Contribution

  Difference between profit and contribution in an objective function: Profit is equal to total revenue minus total variable cost minus total fixed cost, which can be modified as total contribution less of total fixed cost.

• Production and Cost

  As total cost is equal to total fixed cost plus total variable cost, then the total variable cost is equal to 0.50Q + 0.025Q^2. c) What is the MC function of the above TC function?

• Total fixed cost per month produced

  (Round off the variable cost per function to the nearest cent and the total fixed cost to the nearest dollar.) 2. Using the least-squares regression method, estimate the variable cost per function and the total fixed cost per month.

• Cost Function: AVC, AFC, ATC & MC

  The cost function given in the question is C (Q) = 100 + 10Q + Q(squared) which is derived from the general cost function y = c + mx, where c is given as total fixed costs and mx is given as the variable costs; or as in the given function, the fixed cost

• Equations for Fixed, Variable, Average and Marginal Costs

  What are the equations for total fixed cost, total variable cost, average fixed cost, average variable cost and marginal cost? b. Where is the point of diminishing marginal returns? c. Where does stage II of the production function begin? d.

• Multiple Choice

  a)Fixed costs are high and variable costs are low. b)Large changes in sales volume result in larger changes in net income.