Draw the marginal cost curve and the average total cost


Suppose Honda's total cost of producing 4 cars is $225,000 and its total cost of producing 5 cars is $250,000

a) What is the average total cost of producing 5 cars

b) What is the marginal cost of the fifth car?

c) Draw the marginal cost curve and the average total cost curve for a typical firm,and explain why these curves cross where they do

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Econometrics: Draw the marginal cost curve and the average total cost
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