Economic significance of the first term of the expression

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Reference no: EM131159510

Assume that a cost function has been derived empirically for a large firm:

TC=100+25Q

Where TC = total cost and q = quantity of output produced

a. what is the economic significance of the first term of the expression, 100?

b. what is the marginal cost of production in this cast?

Reference no: EM131159510

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