Question

An economist estimated that the cost function of a single-product firm is:

C(Q) = 70 + 30Q + 20Q² + 10Q³.

Based on this information, show your work and determine the following:

a. The fixed cost of producing 10 units of output.

b. The variable cost of producing 10 units of output.

c. The total cost of producing 10 units of output.

d. The average fixed cost of producing 10 units of output.

e. The average variable cost of producing 10 units of output.

f. The average total cost of producing 10 units of output.

g. The marginal cost when Q = 10.