The cost data in the following table are for Marshall’s Meats, a perfectly competitive firm. Round your answers to 2 decimal places. Output Average Variable Cost Average Total Cost Marginal Cost Total Cost 0 / / / $ 100 1 $ $ $ 130 2 150 3 180 4 220 5 270 6 330 7 440 a. Complete above the table. b. What is the break-even price? Break-even price: $ c. What is the shutdown price? Shutdown price: $ d. If the market price of the product is $50, what quantity will Marshall’s Meats produce? What will be its profit or loss? Quantity: ; (Click to select) Loss Profit : $ e. If the market price of the product is $110, what quantity will Marshall’s Meats produce? What will be its profit or loss? Quantity: ; (Click to select) profit loss : $
The cost data in the following table are for Marshall’s Meats, a perfectly competitive firm. Round your answers to 2 decimal places. Output Average Variable Cost Average Total Cost Marginal Cost Total Cost 0 / / / $ 100 1 $ $ $ 130 2 150 3 180 4 220 5 270 6 330 7 440 a. Complete above the table. b. What is the break-even price? Break-even price: $ c. What is the shutdown price? Shutdown price: $ d. If the market price of the product is $50, what quantity will Marshall’s Meats produce? What will be its profit or loss? Quantity: ; (Click to select) Loss Profit : $ e. If the market price of the product is $110, what quantity will Marshall’s Meats produce? What will be its profit or loss? Quantity: ; (Click to select) profit loss : $
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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The cost data in the following table are for Marshall’s Meats, a
Round your answers to 2 decimal places.
| Output | Average Variable Cost | Average Total Cost |
Marginal Cost |
Total Cost |
| 0 | / | / | / | $ 100 |
| 1 | $ | $ | $ | 130 |
| 2 | 150 | |||
| 3 | 180 | |||
| 4 | 220 | |||
| 5 | 270 | |||
| 6 | 330 | |||
| 7 | 440 |
a. Complete above the table.
b. What is the break-even price?
Break-even price: $
c. What is the shutdown price?
Shutdown price: $
d. If the market price of the product is $50, what quantity will Marshall’s Meats produce? What will be its profit or loss?
Quantity: ; (Click to select) Loss Profit : $
e. If the market price of the product is $110, what quantity will Marshall’s Meats produce? What will be its profit or loss?
Quantity: ; (Click to select) profit loss : $
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