The data below shows tabulation on the production of a hypothetical product. Output (Q) Total cost (TC) Units Kshs. 0 - 25 1 - 32 2 - 38 3 - 42 4 - 48 5 - 58 6 - 67 7 - 78 8 - 98 i. Using the above data, determine: · Total fixed cost · Average variable cost schedule · Marginal cost schedule Suppose this product is produced on a perfect market and the price of the commodity = 10, determine the output Q that will maximize the profits. What is the maximum profits achieved by the firm

The data below shows tabulation on the production of a hypothetical product. Output (Q) Total cost (TC) Units Kshs. 0 - 25 1 - 32 2 - 38 3 - 42 4 - 48 5 - 58 6 - 67 7 - 78 8 - 98 i. Using the above data, determine: · Total fixed cost · Average variable cost schedule · Marginal cost schedule Suppose this product is produced on a perfect market and the price of the commodity = 10, determine the output Q that will maximize the profits. What is the maximum profits achieved by the firm

Microeconomics: Principles & Policy

14th Edition

ISBN:9781337794992

Author:William J. Baumol, Alan S. Blinder, John L. Solow

Publisher:William J. Baumol, Alan S. Blinder, John L. Solow

Chapter7: Production, Inputs, And Cost: Building Blocks For Supply Analysis

Section: Chapter Questions

Problem 1DQ

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