00:01
So let's go over this question.
00:03
We have the short run total cost.
00:06
Q is the output.
00:08
Market demand is given.
00:09
P is the market price.
00:11
Find the firm's fixed cost variable cost function.
00:14
The fixed cost is going to be the constant term in the total cost.
00:19
So therefore fixed cost is equal to 15.
00:22
Variable cost will be the rest of the function that includes the term q.
00:28
So that's 5 q squared plus 6 q.
00:37
So that makes sense because the constant is fixed and variable cost has variables in it because q is the variable.
00:46
Find the firm's average total cost and marginal cost functions.
00:50
So for our average total cost we're going to take total cost and divide that by q.
00:58
To divide this entire thing by q, dividing each term by q.
01:09
So these q's cancel out and so do these and then we get the average total cost function.
01:21
Then we need to find the marginal cost function.
01:35
That is the derivative of the total cost function.
01:44
So we're going to follow the power rule...