1. Review of Cost Functions and Supply Curve

2. Figure 1 Economists versus Accountants

3. Table 1 A Production Function and Total Cost: Hungry Helen’s Cookie Factory Copyright©2004 South-Western

4. Figure 2 Hungry Helen’s Production Function

5. Figure 3 Hungry Helen’s Total-Cost Curve

6. Table 2 The Various Measures of Cost: Thirsty Thelma’s Lemonade Stand Copyright©2004 South-Western

7. Figure 4 Thirsty Thelma’s Total-Cost Curve

8. Figure 5 Thirsty Thelma’s Average-Cost and Marginal Cost Curves

9. Figure 6 Big Bob’s Cost Curves

10. Figure 6a Big Bob’s Cost Curves

11. Figure 6b Big Bob’s Cost Curves

12. Table 3 The Many Types of Cost: A Summary Copyright©2004 South-Western

13. Table 1 Total, Average, and Marginal Revenue for a Competitive Firm Copyright©2004 South-Western

14. Table 2 Profit Maximization: A Numerical Example Copyright©2004 South-Western

15. Figure 1 Profit Maximization for a Competitive Firm

16. Figure 2 Marginal Cost as the Competitive Firm’s Supply Curve

17. Figure 3 The Competitive Firm’s Short-Run Supply Curve

18. Figure 4 The Competitive Firm’s Long-Run Supply Curve

19. Figure 5a Profit as the Area between Price and Average Total Cost

20. Figure 5b Profit as the Area between Price and Average Total Cost

21. Figure 6a Market Supply with a Fixed Number of Firms

22. Figure 6b Market Supply with a Fixed Number of Firms