Homework Answers
Answer
AVC=VC/Q=1500/1000=1.5
ATC=AFC+AVC=2+1.5=3.5
ATC<P so the firm is earning profit
The firm is in the correct position for the short-run and the long
run as the profit will decrease but the firm will be in the
business in the long run.
Option 4
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Please show as much work and explanation as
possible, thank you so much!
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all of them
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