Answer to Question #105515 in Microeconomics for Sudha Srivastava

Question

If the quantity is 0,1,2,3,4,5,6,7,8,9,10 then what will be the TFC,TC,AFC,AVC,ATC,MC if the tVC of the quantity is 0,25,40,50,60,80,110,150,300,500,900

Answer 1

TFC is the same for every quantity. That's why TFC is not calculated.

MC is difference between TC and TC of quantity before. TFC in every TC the same, so MC is calculated as difference of VC divided by difference of quantity.

For 0 of quantity:

TC=TFC+0

Other indicators cannot be calculated for 0 of quantity

For 1 of quantity:

$TC=TFC+25$

$AFC=TFC/1=TFC$

$AVC=25/1=25$

$ATC=AFC+25$

$MC=(25-0)/(1-0)=25$

For 2 of quantity:

$TC=TFC+40$

$AVC=40/2=20$

$AFC=TFC/2$

$ATC=AFC+20$

$MC=(40-25)/(2-1)=15$

For 3 of quantity:

$TC=TFC+50$

$AVC=50/3=16.66$

$AFC=TFC/3$

$ATC=AFC+16.66$

$MC=(50-40)/(3-2)=10$

For 4 of quantity:

$TC=TFC+60$

$AVC=60/4=15$

$AFC=TFC/4$

$ATC=AFC+15$

$MC=(60-50)/(4-3)=10$

For 5 of quantity:

$TC=TFC+80$

$AVC=80/5=16$

$AFC=TFC/5$

$ATC=AFC+16$

$MC=(80-60)/(5-4)=20$

For 6 of quantity:

$TC=TFC+110$

$AVC=110/6=18.33$

$AFC=TFC/6$

$ATC=AFC+18.33$

$MC=(110-80)/(6-5)=30$

For 7 of quantity:

$TC=TFC+150$

$AVC=150/7=21.42$

$AFC=TFC/7$

$ATC=AFC+21.42$

$MC=(150-110)/(7-6)$

For 8 of quantity:

$TC=TFC+300$

$AVC=300/8=37.5$

$AFC=TFC/8$

$ATC=AFC+37.5$

$MC=(300-150)/(8-7)=150$

For 9 of quantity:

$TC=TFC+500$

$AVC=500/9=55.55$

$AFC=TFC/9$

$ATC=AFC+55.55$

$MC=(500-300)/(9-8)=200$

For 10 of quantity:

$TC=TFC+900$

$AVC=900/10=90$

$AFC=TFC/10$

$ATC=AFC+90$

$MC=(900-500)/(10-9)=400$