Using the costs in the table above (question #1), what quantity should the firm produce at the following prices in the short-run? What will be the profits of the firm at each price? Briefly explain your answers and show your work.
Fill in the missing values in the table which represents the costs of a firm:
Quantity
TC
FC
VC
MC
ATC
AVC
0
20
20
0
–
1
40
20
20
20
40
40
2
56
20
36
16
28
18
3
69
20
49
13
23
16.34
4
84
20
64
15
21
16
5
105
20
85
21
21
17
6
132
20
112
27
22
18.67
7
161
20
141
29
23
20.14
8
200
20
180
39
25
22.50
Using the costs in the table above (question #1), what quantity should the firm produce at the following prices in the short-run? What will be the profits of the firm at each price? Briefly explain your answers and show your work.
P = 15
P = 19
P = 22
Leave a Reply