Short-Run Cost Curves

• Formulas:

• • Total Cost:
  • • TC = TFC + TVC
  • Marginal Cost:
  • • MC = ∆TC/∆Q
  • Average Variable Cost:
  • • AVC = TVC/Q
  • Average Fixed Cost:
  • • AFC = TFC/Q
  • Average Total Cost:
  • • ATC = TC/Q