Output units Average costs
(ATC)
0
1
2
3
4
5
6
7
8
Total costs
(TC)
10
20
28
34
38
42
48
56
72
20
14
11.3
9.5
8.4
8
8
9
Marginal costs
(MC)
0
10
8
6
4
4
6
8
16
2.1
Identify the value of the fixed costs.
(1)
2.2
Give an example of a fixed cost.
(1)
2.3
2.4
Briefly describe the term marginal cost.
(2)
Explain the intersection point of ATC and MC using information in the table.
(2)
Differentiate between the short run and long run.
(4)
2.5​