Work It Out, Chapter 11, Step 1

(Transcript of audio with descriptions. Transcript includes narrator headings and description headings of the visual content)

(Speaker)
This problem will require you to use this table to calculate specific firm cost functions.

(Description)
The table consists of 2 columns: Quantity of Cars, TC (Total Cost). The table consists of 11 rows. The first row: Quantity of Cars is, 0, TC is, 500 thousand dollars. The second row: Quantity of Cars is, 1, TC is, 540 thousand dollars. The third row: Quantity of Cars is, 2, TC is, 560 thousand dollars. The fourth row: Quantity of Cars is, 3, TC is, 570 thousand dollars. The fifth row: Quantity of Cars is, 4, TC is, 590 thousand dollars. The sixth row: Quantity of Cars is, 5, TC is, 620 thousand dollars. The seventh row: Quantity of Cars is, 6, TC is, 660 thousand dollars. The eight row: Quantity of Cars is, 7, TC is, 720 thousand dollars. The ninth row: Quantity of Cars is, 8, TC is, 800 thousand dollars. The tenth row: Quantity of Cars is, 9, TC is, 920 thousand dollars. The eleventh row: Quantity of Cars is, 10, TC is, 1 million 100 thousand dollars. The following text is written above the table: The accompanying table shows a car manufacturer's total cost of producing cars.

(Speaker)
The first part of the problem is asking to find the fixed cost for the firm.

(Description)
The following text is written below the table: What is this manufacturer's fixed cost?

(Speaker)
The fixed cost for this firm is 500 thousand dollars. In the table, this is the total cost when the firm does not produce any cars.

(Description)
The first row of the table with cells, 0 and 500 thousand dollars, is highlighted. The cell, TC, with 500 thousand dollars, is labeled as Fixed costs are 500 thousand dollars.