If a firmrsquos short-run average total cost function and, Business Economics

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If a firmrsquos short-run average total cost function and

If a firm’s short-run average total cost function and its short run variable cost function satisfy: SAC(200, w, r, K) = 16, SAVC(200, w, r, K) = 12, SAVC(400, w, r, K) = 16, at a specific wage w, a specific rental rate r, and specific fixed capital level K. (a) What is the firm’s short-run fixed cost? (This will be a numerical value). (b) What is the numerical value for SAC(400, w, r, K)?

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