Set all variables to their baseline values. 9) At what level of output is average cost a minimum? 10) What is average cost (AC) at that output? 11) What is marginal cost (MC) at that output?       BASELINE COSTS TC (BASE) $175,113 AC (BASE) $43.78 MC (BASE) $64.12     NEW COSTS TC (NEW) $175,113 AC (NEW) $43.78 MC (NEW) $64.12     POLICY VARIABLES Output 4,000 Fixed cost 25,000 Tax per unit $0.00 AC(NEW)-MC(NEW) -$20.34

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
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Set all variables to their baseline values.
9) At what level of output is average cost a minimum?
10) What is average cost (AC) at that output?
11) What is marginal cost (MC) at that output?

 

   
BASELINE COSTS
TC (BASE) $175,113
AC (BASE) $43.78
MC (BASE) $64.12
   
NEW COSTS
TC (NEW) $175,113
AC (NEW) $43.78
MC (NEW) $64.12
   
POLICY VARIABLES
Output 4,000
Fixed cost 25,000
Tax per unit $0.00
AC(NEW)-MC(NEW) -$20.34
     
   
 
   
 
 
   
   
   
   
 
   
 
 
   
   
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