Question
Calculate MC, given the following information. Also, find AFC.
| Output (Units) | Total Variable Cost (₹) | Total Fixed Cost (₹) |
| 0 | - | 500 |
| 1 | 400 | - |
| 5 | 1,600 | - |
| Output (Units) | Total Variable Cost (₹) | Total Fixed Cost (₹) |
| 0 | - | 500 |
| 1 | 400 | - |
| 5 | 1,600 | - |
| Output (Units) | Total Variable Cost (₹) | Total Fixed Cost (₹) | Marginal Cost (₹) | Average Fixed Cost (₹) |
| 0 | - | 500 | - | $\infty$ |
| 1 | 400 | 500 | 400 | 500 |
| 5 | 1,600 | 500 | $\frac{1,600-400}{5-1}=\frac{1,200}{4}=300$ | 100 |
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From the following table prepare demand schedule for household B, given demand schedule of household A, C and market demand schedule.
| Price (₹) | Household A (Units) | Household B (Units) | Household C (Units) | Market Demand (Units) |
| 7 | 6 | - | 11 | 26 |
| 6 | 8 | - | 16 | 36 |
| 5 | 12 | - | 22 | 51 |
| 4 | 17 | - | 30 | 71 |
| 3 | 24 | - | 42 | 98 |