AFC (in dollars) AVC (in dollars) MC (in dollars) Oo oo . No market price In...

Question

Question

AFC (in dollars) AVC (in dollars) MC (in dollars) Oo oo . No market price In Table 10-1 are the short-run cost schedules of a

business economics

Answer 1

Answer #1

Perfectly competitive firm produces where P=MC.

So optimal Q= 6.

ATC =AFC+ AVC=0.83+18=$18.83

Profit=(P-ATC)*Q= (50-18.83)*6=$187.02

So, Answer= a.) 6, $187.02

Answer 2

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