Managerial economics

Managerialeconomics

Submissiondate

0

78

0

0

1

125

125

1

2

161

322

4

4

181

724

16

5

202

1010

25

7

207

1449

49

8

222

1776

64

10

230

2300

100

12

275

3300

144

15

390

5850

225

16

535

8560

256

80

2606

25416

884

(Salvatore,2011)

=21.39

(Seber,2014)

== 236.91

== 7.27

Thecost function is given by:

Whereis the total cost which is a function of output ().

$81.40is the expected total cost when the company is producing zero unitsof output ceteris paribus.

Aunit increase in the amount of output (),increases the total cost by $21.39 holding all other factorsconstant.

References

Salvatore,D. (2011). . New York: Oxford University Press.

Seber,G. (2014). Linear regression analysis. New York: John Wiley &ampSons.