Q 3 Altawfik Corporation is estimating the cost function for total cost of production of product A using the two points method. The data collected for the past year is as following:
Number of units Total
Quarter produced Costs
1 4,000 $ 1,000
2 5,400 1,280
3 7,000 1,600
4 9,000 2,000
Using the two points methods, choose two points with which you estimate the cost function.
(1 Mark)
Q 3 Altawfik Corporation is estimating the cost function for total cost of production of product A using the two points method. The data collected for the past year is as following:
Number of units Total
Quarter produced Costs
1 4,000 $ 1,000
2 5,400 1,280
3 7,000 1,600
4 9,000 2,000
Using the two points methods, choose two points with which you estimate the cost function.
(1 Mark)