Straker Industries estimated its short-run costs using a U-shaped average variable cost function of the form $A V C = a + b Q + c Q ^ { 2 }$ and obtained the following results.Total fixed cost (TFC)at Straker Industries is $1,000. If Straker Industries produces 12 units of output,what is estimated average total cost (ATC)?
A)$121.93
B)$171.40
C)$463.20
D)$1,348

Question

Straker Industries estimated its short-run costs using a U-shaped average variable cost function of the form $A V C = a + b Q + c Q ^ { 2 }$ and obtained the following results.Total fixed cost (TFC)at Straker Industries is $1,000.  If Straker Industries produces 12 units of output,what is estimated average total cost (ATC)?
A)$121.93 
B)$171.40 
C)$463.20 
D)$1,348

Quizplus · Accepted Answer

The Answer of Straker Industries estimated its short-run costs using a U-shaped average variable cost function of the form $A V C = a + b Q + c Q ^ { 2 }$ and obtained the following results.Total fixed cost (TFC)at Straker Industries is $1,000.  If Straker Industries produces 12 units of output,what is estimated average total cost (ATC)?
A)$121.93 
B)$171.40 
C)$463.20 
D)$1,348

Straker Industries Estimated Its Short-Run Costs Using a U-Shaped Average AVC=a+bQ+cQ2A V C = a + b Q + c Q ^ { 2 }AVC=a+bQ+cQ2

Straker Industries Estimated Its Short-Run Costs Using a U-Shaped Average $A V C = a + b Q + c Q ^ { 2 }$