The Table Gives the Short-Run Production Data for a Manufacturing

question 10

Essay

The table gives the short-run production data for a manufacturing firm. Compute average cost and marginal cost for the output levels shown in the table.
$\begin{array} { | c | c | c | c | c | } \hline \text { Quantity } & \begin{array} { c } \text { Fixed } \\\text { cost }\end{array} & \begin{array} { c } \text { Variable } \\\text { cost }\end{array} & \begin{array} { c } \text { Average } \\\text { cost }\end{array} & \begin{array} { c } \text { Marginal } \\\text { cost }\end{array} \\\hline 0 & 15 & - & & \\\hline 1 & & 6 & & \\\hline 2 & & 11 & & \\\hline 3 & & 15 & & \\\hline 4 & & 18 & & \\\hline 5 & & 22 & & \\\hline 6 & & 27 & & \\\hline 7 & & 33 & & \\\hline 8 & & 40 & & \\\hline\end{array}$

---

Definitions:

Arousal Desires

The yearning or longing for situations or stimuli that incite emotional or physiological excitement.

Autonomic Nervous System

The part of the nervous system that controls involuntary body functions such as heart rate and digestion.

Two-Factor Theory

A psychological model proposing that human emotions depend on a state of physiological arousal and a cognitive interpretation of that arousal to experience emotion.

James-Lange Theory

A theory of emotion that proposes emotional experiences result from physiological responses to external stimuli.