Economics Today, Student Value Edition Plus MyLab Economics with Pearson eText -- Access Card Package (19th Edition)
19th Edition
ISBN: 9780134641935
Author: Roger LeRoy Miller
Publisher: PEARSON
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Textbook Question
Chapter 23, Problem 5P
Consider the information provided in Problem 23-4 Suppose the market
23-4. The table nearby represents the hourly output and cost structure for a local pizza shop. The market is
| Total Hourty Output and Sales Pizzas | Total Hourty Variable Cost ($) |
| 0 | 5 |
| 1 | 9 |
| 2 | 11 |
| 3 | 12 |
| 4 | 14 |
| 5 | 18 |
| 6 | 24 |
| 7 | 32 |
| 8 | 42 |
| 9 | 54 |
| 10 | 68 |
- Calculate the total revenue and total economic profit for this pizza shop at each rate of output
- Assuming that the pizza shop always produces and sells at least one pizza per hour, does this appear to be a situation of short-run or long-run equilibrium?
- Calculate the pizza shop's marginal cost and marginal revenue at each rate of output Based on marginal analysis, what is the profit- maximizing rate of output for the pizza shop?
- Draw a diagram depicting the short-run marginal revenue and marginal cost
curves for this pizza shop, and illustrate the determination of its profit-maximizing output rate.
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Chapter 23 Solutions
Economics Today, Student Value Edition Plus MyLab Economics with Pearson eText -- Access Card Package (19th Edition)
Ch. 23 - Prob. 23.1LOCh. 23 - Prob. 23.2LOCh. 23 - Prob. 23.3LOCh. 23 - Prob. 23.4LOCh. 23 - Prob. 23.5LOCh. 23 - Prob. aFCTCh. 23 - Prob. bFCTCh. 23 - Prob. cFCTCh. 23 - Prob. 1CTQCh. 23 - Prob. 2CTQ
Ch. 23 - Prob. 1FCTCh. 23 - Prob. 2FCTCh. 23 - Prob. 1PCh. 23 - Prob. 2PCh. 23 - Prob. 3PCh. 23 - Prob. 4PCh. 23 - Consider the information provided in Problem 23-4...Ch. 23 - Prob. 6PCh. 23 - Prob. 7PCh. 23 - Prob. 8PCh. 23 - Prob. 9PCh. 23 - Prob. 10PCh. 23 - Prob. 11PCh. 23 - Prob. 12PCh. 23 - Prob. 13PCh. 23 - Prob. 14PCh. 23 - Prob. 15PCh. 23 - Prob. 16PCh. 23 - Prob. 17PCh. 23 - Prob. 18P
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