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Jane's Juice Bar has the following cost schedules: a. Calculate average variable cost, average total cost, and marginal cost for each quantity. b. Graph all three curves. What is the relationship between the marginal-cost curve and the average-total-cost curve? Between the marginal-cost curve and the average-variablecost curve? Explain.

a) answer unavailableb) b. Average total cost and average variable cost increases at slower rate than than marginal cost. It is result of the fact that variable cost for initial production is lower and averaging with these quantities puts downward pressure on these values.

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of a question night is asking us to calculate the following cost. According to this, Greg, according to this chart, the first we have to calculate the average variable cost. So arms the average burial called terrible cost. I will, like, rated here. ABC will be the very ball cost divided by the quantity. So zero here so can divide about one is ten in a twenty five. Divided by two is twelve point. Why then? Forty five divided by three is fifteen, then seventy. Anybody by four is a contain point and fly and then one hundred by you by five is twenty and then one hundred thirty five Debate was six this twenty to a point. Yeah, a five. Okay. Okay. And then we have to calculate the average total cost. So every day total caused, it's just total cost. Divided by a quantity. Well, I forgot this zero here. So this divided by zero just not write anything asses. Infinity. So we start from here. Yeah. Sorry. So So I should you should write this zero here. Okay. Uh, let's continue. Fifty five. Divided by two A. This twenty. I didn't know. Good. So twenty seven point lives and then seventy five divided by story. It is twenty five that one hundred divided by four is also twenty five. And this differently there will be twenty six. Imagine six is no. Oh, tweet something. Okay. And marginal cost. So marginal. Cost is going to be the difference off total cost. So for producing one extra unit off juice, the cost iss marginal cost here is just a difference between this. So there will be ten and then the different himself. Fifty five and forty fifteen that here is twenty and then twenty fives, then three and then thirty five. Okay, Now we have calculated all the numbers were so question is has to grab all three cursed. And what is the relationship between a marginal cost in the average total cost. So from what we read in textbook, we know that marginal cost is going to cross the minimum off every shoulder costs. So if we first observe it, that average the minimum. What average total cost occurs at here like twenty five. Twenty five and we know Yes, indeed. Marginal cost. Cross this curtain at somewhere, which is at twenty five. I said between the module cost of an average variable cost through it. So I would wrist raw, draw the graph here from the right hand side. So the X axis is quantity and the white access is just the cost. So if we produce zero, then zero one Q four home. It's life. Sixth unit of Hughes. Just a mark there. Just more kids here. So let's first draw the average variable cost Rs one. It is that, like, can Kim wait anything any to mark this this world? So it's woman here and then twenty here in long thirty. Because the world goes right. Uh, goes about forty right on the numbers here. So this should be good enough. Great. I marked this average bearable causes ten here and then the second one is twelve point five and then fifteen somewhere in between ten and twenty and then seventeen point. Why? So we can see that it is almost a straight line, you know, it is a straight line, so Okay, so it's easy to draw here. This is the pain. Okay, then what is eighty See here? Used color green. He's a t c. So it is forty. It is so high because there is thiss intrinsic fix cost embedded in a T. C. Okay. And then twenty seven wake something here, twenty five and then Oh, so twenty five. And then it goes up. Then what comes up a little bit and then goes up a little bit? Okay, so the a t c. Look something. Sorry about this. You see? So we're just going to see that emcee across the minimum point, which is, like, twenty five. So Okay, let's draw him seeing here. Emcee starts at ten. Also and then fifteen and then twenty and then twenty five. So this point ISS, where they cross each other and then third here, then thirty five for six quantity. Sixth. So hymns. Marginal cost. It's my here, so we can see that both marginal cost and average a variable cost is the straight line. So? So that's the special feature of this question. And what is the most important

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