8 Refer to the table below to answer this question.Best Baby Toys is a firm operating under perfect competition. The market price of the product this company sells is $10.00.Production and Cost Information for Best Baby ToysNumber ofMarginalProductWorkersOutputTotal CostATCMC$200.0020$300.0050$400.003.90$500.004120$600.00140S700.006.150S800.00According to the table above, how many units of its output should Best Baby Toys selee in order to maximize profit?OA 4O B.5O0.7

Here, ATC = Average total cost MC = marginal cost MP = marginal product TC = Total cost Q =…

Marginal Product Output Total Cost ATC MC $200.00 20 $300.00 50 $400.00 90 $500.00 120 $600.00 140 $700.00 150 $800.00 se table above, how many units of its output should Best Baby Toys selee in order to maximize profit?

Marginal Product Output Total Cost ATC MC $200.00 20 $300.00 50 $400.00 90 $500.00 120 $600.00 140 $700.00 150 $800.00 se table above, how many units of its output should Best Baby Toys selee in order to maximize profit?

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter11: The Firm: Production And Costs

Section: Chapter Questions

Problem 3P

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