A Competitive Firm Has the Short-Run Cost Function C(y)= Y3

question 39

Essay

A competitive firm has the short-run cost function c(y)= y3 -2y2 + 5y + 6. Write down equations for:
a. The firm's average variable cost function
b. The firm's marginal cost function
c. At what level of output is average variable cost minimized?
d. Graph the short-run supply function for this firm, being careful to label the key points on the graph with the numbers specifying the exact prices and quantities at these points.

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Definitions:

Capital Contribution

Funds, property, or other assets contributed to a corporation or partnership by its owners or partners to support its operations.

Androgynous

Possessing or exhibiting both traditionally masculine and traditionally feminine qualities, traits, or characteristics.

Feminine

Relating to qualities or attributes regarded as characteristic of women or girls.

Androgynous

Describing a person or trait that has both masculine and feminine characteristics, challenging traditional gender roles.