How about for when he does 8 customers?I'm having trouble figuring out how to do this due to the fact that I can't seem to understand when MR is truly greater than MC.VC and TFC are still the same. Not satisfied with his current situation, Sheldon increases his service area so that he now has eight possible customers with different willingness to pay for a month of lawn service as depicted in the table below.| Customer | Willingness to pay for a month of lawn service ||----------|-----------------------------------------------|| 1 | $180 || 2 | $160 || 3 | $140 || 4 | $120 || 5 | $100 || 6 | $80 || 7 | $60 || 8 | $40 |

Profit is maximized where MR = MC. MR is the marginal revenue and MC is the marginal Cost.…

Answered: How about for when he does 8 customers?…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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How about for when he does 8 customers?
I'm having trouble figuring out how to do this due to the fact that I can't seem to understand when MR is truly greater than MC.
VC and TFC are still the same.

Not satisfied with his current situation, Sheldon increases his service area so that he now has eight possible customers with different willingness to pay for a month of lawn service as depicted in the table below.

| Customer | Willingness to pay for a month of lawn service |
|----------|-----------------------------------------------|
| 1 | $180 |
| 2 | $160 |
| 3 | $140 |
| 4 | $120 |
| 5 | $100 |
| 6 | $80 |
| 7 | $60 |
| 8 | $40 |

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