given,
STC=0.5^2 -10q -200
SMC=q-10
what is the short run average n marginal cost curve.
i saw similar question posted by twitty...but i need to know how to get the answer...all the calculation..plz...
To determine the short-run average and marginal cost curve, we need to find the derivative of the total cost function (STC) with respect to quantity (q).
1. Calculate the Short-run Average Cost (SAC):
SAC = STC/q
To find the SAC, divide the total cost function (STC) by the quantity (q).
2. Calculate the Short-run Marginal Cost (SMC):
SMC = d(STC)/dq
To find the SMC, take the derivative of the total cost function (STC) with respect to quantity (q).
The given total cost function (STC) is:
STC = 0.5q^2 - 10q - 200
1. Calculate the Short-run Average Cost (SAC):
SAC = STC/q
Divide the total cost function (STC) by the quantity (q):
SAC = (0.5q^2 - 10q - 200)/q
Simplify:
SAC = 0.5q - 10 - 200/q
The short-run average cost curve is given by SAC = 0.5q - 10 - 200/q.
2. Calculate the Short-run Marginal Cost (SMC):
SMC = d(STC)/dq
Take the derivative of the total cost function (STC) with respect to quantity (q):
SMC = d/dq(0.5q^2 - 10q - 200)
SMC = 1q - 10
Simplify:
SMC = q - 10
The short-run marginal cost curve is given by SMC = q - 10.