A firm’s cost curves are given in the following table. q TC TFC TVC AVC ATC MC Revenue Profit 0 RO100 RO100 1 140 100 2 160 100 3 170 100 4 182 100 5 195 100 6 220 100 7 250 100 8 290 100 9 340 100 10 400 100 Complete the table. Graph AVC, ATC and MC on the same graph. What is the relationship between the MC curve and the ATC and between MC and AVC? Suppose the market price is RO 60, how much will the firm products in the short run? How much are the total profits?
A firm’s cost curves are given in the following table. q TC TFC TVC AVC ATC MC Revenue Profit 0 RO100 RO100 1 140 100 2 160 100 3 170 100 4 182 100 5 195 100 6 220 100 7 250 100 8 290 100 9 340 100 10 400 100 Complete the table. Graph AVC, ATC and MC on the same graph. What is the relationship between the MC curve and the ATC and between MC and AVC? Suppose the market price is RO 60, how much will the firm products in the short run? How much are the total profits?
Principles of Economics 2e
2nd Edition
ISBN:9781947172364
Author:Steven A. Greenlaw; David Shapiro
Publisher:Steven A. Greenlaw; David Shapiro
Chapter7: Production, Costs, And Industry Structure
Section: Chapter Questions
Problem 41P: Compute the average total cost, average variable cost, and marginal cost of producing 50 and 72...
Related questions
Question
- A firm’s cost curves are given in the following table.
q |
TC |
TFC |
TVC |
|
|
MC |
Revenue |
Profit |
0 |
RO100 |
RO100 |
|
|
|
|
|
|
1 |
140 |
100 |
|
|
|
|
|
|
2 |
160 |
100 |
|
|
|
|
|
|
3 |
170 |
100 |
|
|
|
|
|
|
4 |
182 |
100 |
|
|
|
|
|
|
5 |
195 |
100 |
|
|
|
|
|
|
6 |
220 |
100 |
|
|
|
|
|
|
7 |
250 |
100 |
|
|
|
|
|
|
8 |
290 |
100 |
|
|
|
|
|
|
9 |
340 |
100 |
|
|
|
|
|
|
10 |
400 |
100 |
|
|
|
|
|
|
- Complete the table.
- Graph AVC, ATC and MC on the same graph. What is the relationship between the MC curve and the ATC and between MC and AVC?
- Suppose the market price is RO 60, how much will the firm products in the short run? How much are the total profits?
Expert Solution
This question has been solved!
Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.
This is a popular solution!
Trending now
This is a popular solution!
Step by step
Solved in 4 steps with 1 images
Knowledge Booster
Learn more about
Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.Recommended textbooks for you
Principles of Economics 2e
Economics
ISBN:
9781947172364
Author:
Steven A. Greenlaw; David Shapiro
Publisher:
OpenStax
Microeconomics: Principles & Policy
Economics
ISBN:
9781337794992
Author:
William J. Baumol, Alan S. Blinder, John L. Solow
Publisher:
Cengage Learning
Principles of Economics 2e
Economics
ISBN:
9781947172364
Author:
Steven A. Greenlaw; David Shapiro
Publisher:
OpenStax
Microeconomics: Principles & Policy
Economics
ISBN:
9781337794992
Author:
William J. Baumol, Alan S. Blinder, John L. Solow
Publisher:
Cengage Learning