Here is information pertaining to a firm operating in a perfectly competitive marke Price $10.00 Output Total Revenue (TR) $8,000 Total Cost (TC) Total Fixed Cost (TFC) $2,800 Total Variable Cost (TVC) Average Total Cost (ATC) $12.00 Average Variable Cost (AVC) Minimum Marginal Cost (MC) Based off of the provided information answer the following 3 questions: What is the firm's average variable cost (AVC)? What is the firm's marginal cost (MC Should the firm decrease production or shut down in the short run? O $8.5; 8.5; shut down $8.5; $8.5; shut down $8.5; $8.5; increase production O None of the available answers $8; $8; decrease production
Here is information pertaining to a firm operating in a perfectly competitive marke Price $10.00 Output Total Revenue (TR) $8,000 Total Cost (TC) Total Fixed Cost (TFC) $2,800 Total Variable Cost (TVC) Average Total Cost (ATC) $12.00 Average Variable Cost (AVC) Minimum Marginal Cost (MC) Based off of the provided information answer the following 3 questions: What is the firm's average variable cost (AVC)? What is the firm's marginal cost (MC Should the firm decrease production or shut down in the short run? O $8.5; 8.5; shut down $8.5; $8.5; shut down $8.5; $8.5; increase production O None of the available answers $8; $8; decrease production
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
Related questions
Question
![Here is information pertaining to a firm operating in a perfectly competitive market:
Price
$10.00
Output
Total Revenue (TR)
$8,000
Total Cost (TC)
Total Fixed Cost (TFC)
$2,800
Total Variable Cost (TVC)
Average Total Cost (ATC)
$12.00
Average Variable Cost (AVC) Minimum
Marginal Cost (MC)
Based off of the provided information answer the following 3 questions:
What is the firm's average variable cost (AVC)? What is the firm's marginal cost (MC)?
Should the firm decrease production or shut down in the short run?
O $8.5; 8.5; shut down
$8.5; $8.5; shut down
$8.5; $8.5; increase production
None of the available answers
$8; $8; decrease production](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F0b34b7be-8789-4ed1-a6ae-3895e2a54c02%2F7f775f71-c686-4993-be8d-8f21ae47532b%2Fylp6znh_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Here is information pertaining to a firm operating in a perfectly competitive market:
Price
$10.00
Output
Total Revenue (TR)
$8,000
Total Cost (TC)
Total Fixed Cost (TFC)
$2,800
Total Variable Cost (TVC)
Average Total Cost (ATC)
$12.00
Average Variable Cost (AVC) Minimum
Marginal Cost (MC)
Based off of the provided information answer the following 3 questions:
What is the firm's average variable cost (AVC)? What is the firm's marginal cost (MC)?
Should the firm decrease production or shut down in the short run?
O $8.5; 8.5; shut down
$8.5; $8.5; shut down
$8.5; $8.5; increase production
None of the available answers
$8; $8; decrease production
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