A company is planning to manufacture snowboards. The fixed costs are $ 100 per day and total costs are $5700 per day at a daily output of 20 boards. A. Assuming that the total cost per day, c(X), is linearly related to the toatl output per day, x, write an equation for the cost functionB. The average cost per board for an output of Xboards is Given . find the average cost function. C. Sketch a graph of the average cost function, including any asymptotes, for 1 is less then or equal to X and 30 is greater then or equal toD. What does the average cost per board tend to as production increases

3. saving two consumers, larry and jeff, have utility functions defined over the two periods of their lives: middle age (period zero) and retirement (period 1). they have the same income in period 0 of m dollars and they will not earn income in period 1. the interest rate they face is r. larry’s and jeff’s utility functions are as follow. = 0.5 + 0.5 and = 0.5 + 0.5 for each person is between zero and one and represents each consumer’s temporal discount econ 340: intermediate microeconomics. ben van kammen: purdue university. rate. a. write the budget constraint that applies to both jeff and larry in terms of consumption in each period and ), interest rate, and m. b. what is larry’s and what is jeff’s marginal rate of intertemporal substitution? c. what is the slope of the budget constraint? d. write each consumer’s condition for lifetime utility maximization. e. re-arrange the conditions from part (d) to solve for the ratio, . f. if > which consumer will save more of his middle age income? g. if > 1 1+ , in which period will larry consume more: = 0 or = 1?