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Cost Functions

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Given the total cost function:
TC = 100 + 40Q - 15Q(squared) + 5Q (to the third power), calculate the

a) average fixed cost function (AFC)

b) average variable cost function (AVC)

c. marginal cost function (MC)

Please show calulations and Draw a diagram with all three curves plotted on it.

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Solution Summary

Please see the excel file for
1. Cost functions in mathematical form
2. Values for each functions
3. Graph (Note that graph of AFC is very close of x-axis as the values for other cost functions are very high).

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Please see the excel file for
1. Cost functions in ...

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