What you’ll learn to do: define and differentiate between marginal, average, and total cost; compute and graph marginal, average, and total cost
In this section, you’ll see how firms look at marginal, average, and total costs curves to determine whether or not it is making a profit, or at least headed in that direction.
The specific things you’ll learn to do in this section include:
- Differentiate between variable and fixed costs
The learning activities for this section include:
- Reading: Fixed and Variable Costs
- Reading: The Structure of Costs in the Short Run
- Self Check: Marginal, Average, and Total Cost
Take time to review and reflect on each of these activities in order to improve your performance on the assessment for this section.