Firm A produces 1,000 units of output at a cost of $16.84 each. Firm A sells 600 units to Firm B for a price of $24.53 each. They sell the remaining units to consumers for a price of $25.21 each. Firm B produces 100 units of output using the 600 units that it purchased from Firm A. The total cost of producing the 100 units was $77 per unit. Firm B sold 90 units to consumers for $101 each and did not sell the remaining units this year. What is the value of consumption spending? Enter a number rounded to two decimal places.

Firm A produces 1,000 units of output at a cost of $16.84 each. Firm A sells 600 units to Firm B for a price of $24.53 each. They sell the remaining units to consumers for a price of $25.21 each. Firm B produces 100 units of output using the 600 units that it purchased from Firm A. The total cost of producing the 100 units was $77 per unit. Firm B sold 90 units to consumers for $101 each and did not sell the remaining units this year. What is the value of consumption spending? Enter a number rounded to two decimal places.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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