Complete the following table, assuming that each unit of labor cost $75.00 per day
|
Quantity of labor per day
|
Output per day
|
Fixed cost
|
Variable cost
|
Total cost
|
Marginal cost
|
|
0
|
|
$300
|
|
|
|
|
1
|
5
|
|
$75
|
|
15
|
|
2
|
11
|
|
$150
|
$450
|
12.5
|
|
3
|
15
|
|
|
$525
|
|
|
4
|
18
|
|
$300
|
$600
|
|
|
5
|
20
|
|
|
|
37.5
|
|
|
|
|
|
|
Given the table above:
- Graph the fixed cost, variable cost and total cost curves.
- What is the average total cost when the output is 18n units per day?