(The Short-Run Firm Supply Curve) Use the following data to answer the questions below:QuantityVariable CostMarginal CostAverage variable Cost1$10 2$16 3$20 4$25 5$31 6$38 7$46 8$55 9$65 Calculate the marginal cost and average variable cost for each level of productionHow much would the firm produce if it could sell its product for $5? For $7? For $10?Explain your answersAssuming that its fixed cost is $3, calculate the firm’s profit at each of the production levels determined in part (b)

(a) we can calculate marginal cost and average variable cost by using the following equations.…

Answered: (The Short-Run Firm Supply Curve) Use…

Principles of Economics, 7th Edition (MindTap Course List)

7th Edition

ISBN:9781285165875

Author:N. Gregory Mankiw

Publisher:N. Gregory Mankiw

Chapter13: The Cost Of Production

Section: Chapter Questions

Problem 9PA

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(The Short-Run Firm Supply Curve) Use the following data to answer the questions below:
Quantity Variable Cost Marginal Cost Average variable Cost

1 $10

2 $16

3 $20

4 $25

5 $31

6 $38

7 $46

8 $55

9 $65

Calculate the marginal cost and average variable cost for each level of production

How much would the firm produce if it could sell its product for $5? For $7? For $10?

Explain your answers

Assuming that its fixed cost is $3, calculate the firm’s profit at each of the production levels determined in part (b)

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