Compute the table below. Show steps and give formulas.

Total Variable Fixed Marginal Average Avg.Var. Avg. fixed

Output Cost Cost Cost Cost Cost Cost Cost

0

1 5

2 30

3 13

4 105 10

5 110

6 50

Question

Compute the table below. Show steps and give formulas. Total Variable Fixed Marginal Average Avg.Var. Avg. fixed Output Cost Cost Cost Cost Cost Cost Cost 0 1 5 2 30 3 13 4 105 10 5 110 6 50

Help In Homework · Accepted Answer

We can use the following formula to compute the table:

total cost = fixed cost + variable cost
average cost = total cost / units of output
average variable cost = variable cost / units of output
average fixed cost = fixed cost / units of output
marginal cost = change in variable cost

	Total	Variable	Fixed	Marginal	Average	Avg.Var.	Avg. fixed
Output	Cost	Cost	Cost	Cost	Cost	Cost	Cost
0	0	0	40	0	0	0
1	45	5	40	5	5	5	40
2	60	20	40	15	30	15	20
3	79	39	40	19	26.33	13.00	13.33
4	105	65	40	26	26.25	16.25	10.00
5	150	110	40	45	30.00	22.00	8.00
6	200	160	40	50	33.33	26.67	6.67

Total Cost:

Total cost is the sum of variable cost and fixed cost. Average variable cost is total variable cost divided by the number of units produced. Total fixed cost does not vary with production volume.