Question

The WipeOut Ski Company manufactures skis for beginners. Fixed costs are $30. Fill in Table for total cost, average variable cost, average total cost, and marginal cost. Complete the chart by filling in the missing numbers: What is the marginal cost in C?

Quantity Variable Cost Fixed Cost Total Cost Average Variable Cost Average Total Cost Marginal Cost
0 0 $30
1 $10 $30
2 $25 $30 A
3 $45 $30 C
4 $70 $30
5 $100 $30 B
6 $135 $30 )

(multiple choice):
$15.00
$20.00
$22.50

Answer 1

To fill in the missing numbers in the table, you need to understand the concepts of total cost, average variable cost, average total cost, and marginal cost. The total cost is the sum of the variable cost and fixed cost, while the average variable cost is calculated by dividing the variable cost by the quantity.

Step-by-step explanation:

average variable cost would be $25/2 = $12.50:

In order to fill in the missing numbers in the table, we need to understand the concepts of total cost, average variable cost, average total cost, and marginal cost. Total cost is the sum of variable cost and fixed cost. For example, for the quantity of 0, the variable cost is 0 and the fixed cost is $30, so the total cost would be $30. Average variable cost is the variable cost per unit of output. It is calculated by dividing the variable cost by the quantity.

For example, for the quantity of 2, the variable cost is $25 and the quantity is 2, so the average variable cost would be $25/2 = $12.50. Average total cost is the total cost per unit of output. It is calculated by dividing the total cost by the quantity. For example, for the quantity of 6, the total cost is $165 and the quantity is 6, so the average total cost would be $165/6 = $27.50. Finally, marginal cost is the additional cost incurred by producing one more unit of output.