Question

From a giving cost function tc=60+0.5q+0.3q(sq) find out fixed cost,average variable and marginal cost.

Answer 1

$T_c=60+0.5q+0.3q^2\\ \\fixed\ cost=60\\ \\variable\ cost=0.5q+0.3q^2\\ \\average\ variable\ cost=\frac{0.5q+0.3q^2}{q}=0.5+0.3q\\ \\ marginal\ cost= \frac{dT_c}{dq} =0.5+0.6q$