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Micro Economics

Notes 17. If firm’s total revenue function is given as, TR = 110Q – 5Q and the total cost function is,
2
TC = 10Q – Q – 0.33Q , then fi nd:
2
3
(a) MR and AR
(b) MC and AC
(c) The output level that maximises TR

(d) The output level that minimises AC
Answers: Self Assessment

1. True 2. False
3. True 4. False
5. True 6. True
7. False 8. True
9. suspended 10. micro level and macro level

11. one additional unit 12. declines
13. accounting system 14. fi xed
15. break even 16. traceable

9.9 Further Readings

Books Dr. Atmanand, Managerial Economics, Excel Books
Dornbusch, R., Stanley Fisher and Richard Startz (2001), Microeconomics, Tata
McGraw-Hill.
Boulding, K. E. (1966), Economics Analysis: Microeconomics, Vol. I, 4th ed., (New
York, Harpar and Row).
Boumal, William J. (1977), Economic Theory and Operations Analysis (Printice - Hall
Englewood Cliffs).
Petersen, H. Craig and Lewis, W. Cris (2001), Managerial Economics, Pearson
Education Asia.

Online links http://economicswebinstitute.org/glossary/costs.htm

http://www.referenceforbusiness.com/management/De-Ele/Economies-of-
Scale-and-Economies-of-Scope.html
http://economics.about.com/cs/studentresources/a/short_long_run.htm

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