Compute the Short-Run Costs. Consider a firm with the short-run costs shown on the next page: a. What is the firm’s fixed cost? b. Compute short-run marginal cost (MC), short-run average variable cost...

Compute the Short-Run Costs. Consider a firm with the short-run costs shown on the next page:

a. What is the firm’s fixed cost?

b. Compute short-run marginal cost (MC), short-run average variable cost (AVC), and short-run average total cost (ATC) for the different levels of output.

c. Draw the three cost curves. Explain why the MC curve always intersects the ATC curve at the latter’s minimum