The Deering Manufacturing Company’s short- run average cost function in 2012 was AC = 3 + 4Q Where AC is the firm’s average cost (in dollars per pound of the product), and Q is its output rate. a) Obtain an equation for the firm’s short- run total cost function. b) Does the firm have any fixed costs? Explain. c) If the price of the Deering Manufacturing Company’s product (per pound) is $3, is the firm making profit or loss? Explain. d) Derive an equation for the firm’s marginal cost function.
Deering Manufacturing Company
This is a sample question
Need help with a similar assignment?
Place an order at Study Pirate
Attach all custom instructions.
Make Payment. (The total price is based on number of pages, academic level and deadline)
We’ll assign the paper to one of writers and send it back once complete.