Cost MC Select one: ATC AVC ABC D Quantity C in the figure above represents the output level where the firm Quantity a. maximizes profits in the short-run. b. minimizes total costs in the short-run. C. maximizes profits in the long-run. d. minimizes marginal costs in the long-run. e. None of the above.

Cost MC Select one: ATC AVC ABC D Quantity C in the figure above represents the output level where the firm Quantity a. maximizes profits in the short-run. b. minimizes total costs in the short-run. C. maximizes profits in the long-run. d. minimizes marginal costs in the long-run. e. None of the above.

Survey Of Economics

10th Edition

ISBN:9781337111522

Author:Tucker, Irvin B.

Publisher:Tucker, Irvin B.

Chapter6: Proudction Costs

Section: Chapter Questions

Problem 6SQP

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Output AFC AVC ATC MC 0 $ --- $ --- $ --- $ --- 1 300 100 400 100 2 150 75 225 50 3 100 70 170 60 4 75 73 148 82 5 60 80 140 108 6 50 90 140 140 7 43 103 146 182 8 38 119 156 234 9 33 138 171 283 10 30 160 190 361 How much is fixed cost (TFC)? The total fixed cost is 300. For the following questions, first check: a) is P greater than or equal to, AVC at any level of output? If not, do not produce. You will lose only your fixed cost (TFC)…