Short-run total costs

Short-run total costs

Bachelor of Business Studies (BBS) — First Year

Subject: Microeconomics for Business (MGT 207)

Unit 6: Cost and Revenue Curves

Academic Year: 2083/84

Topic Objectives

After studying this topic, students should be able to:

• Explain the scope and key elements of short-run total costs.
• Explain the economic reasoning and use appropriate diagrams or relationships in business analysis.

Curriculum Scope

• Cost-output relationship
• Derivation and relationships of total-cost curves

Detailed Microsyllabus

1. Short-run total costs

   1. Fixed, variable and total cost.
   2. Derive cost–output relationships from production conditions.
   3. Construct total-cost schedules and curves.

2. Relationships and interpretation

   1. Vertical separation between total and variable cost curves.
   2. Changes in total cost as output expands.
   3. Connect cost patterns with diminishing marginal productivity.

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Curriculum reference: Tribhuvan University, Faculty of Management, BBS curriculum with first-year syllabus, PDF pages 17-19.

Source note: The curriculum scope above is retained from the existing TU syllabus breakdown. The numbered study subtopics are editorial elaborations for teaching and study, rather than a separately issued TU syllabus. Unit lecture hours apply to the whole unit; no separate topic hours or marks are assigned here. The programme subject list identifies this course as MGT 207; the detailed subject heading in the source prints MGT 203.