Suppose that you estimate the following cost function for your company, which is a firm operating in a perfectly competitive market:
TC = 100Q - 4Q^2 + Q^3 ,
a. Compute and plot the average cost and marginal cost.
This is what I put but don't know if it's correct.
AC = 100-4Q+Q^2
MC = 100 - 16Q + 3Q^2
Over what range of output does economies of scale exist? Diseconomies of scale?