Wilbur's is the only septic service in a remote village. The firm's total fixed cost is $125 a day and its marginal cost is zero. The table gives the demand schedule for service calls. Price (dollars per service call) 500 400 300 200 100 0 Quantity (service calls per day) 0 4 8 12 16 20 Draw the firm's demand curve. Label it D. Draw the firm's marginal revenue curve. Label it MR. Draw the firm's marginal cost curve. Label it MC. Draw a point at the profit-maximizing price and output. What is Wilbur's economic profit? Wilbur's economic profit is $ a day.

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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Wilbur's is the only septic service in a remote village. The firm's total
fixed cost is $125 a day and its marginal cost is zero. The table gives
the demand schedule for service calls.
Price
(dollars per service call)
500
400
300
200
100
0
Quantity
(service calls per day)
0
4
8
12 16 20
Draw the firm's demand curve. Label it D.
Draw the firm's marginal revenue curve. Label it MR.
Draw the firm's marginal cost curve. Label it MC.
Draw a point at the profit-maximizing price and output.
What is Wilbur's economic profit?
Wilbur's economic profit is $ a day.
>>> If the firm incurs an economic loss, indicate the loss with a minus
sign. If the firm makes an economic profit, do not include a plus sign.
C
600-
500-
400-
300-
200-
100-
0-
Price and cost (dollars per service call)
20
8
12
16
Quantity (service calls per day)
>>> Draw only the objects specified in the question
24
(
[
Transcribed Image Text:Wilbur's is the only septic service in a remote village. The firm's total fixed cost is $125 a day and its marginal cost is zero. The table gives the demand schedule for service calls. Price (dollars per service call) 500 400 300 200 100 0 Quantity (service calls per day) 0 4 8 12 16 20 Draw the firm's demand curve. Label it D. Draw the firm's marginal revenue curve. Label it MR. Draw the firm's marginal cost curve. Label it MC. Draw a point at the profit-maximizing price and output. What is Wilbur's economic profit? Wilbur's economic profit is $ a day. >>> If the firm incurs an economic loss, indicate the loss with a minus sign. If the firm makes an economic profit, do not include a plus sign. C 600- 500- 400- 300- 200- 100- 0- Price and cost (dollars per service call) 20 8 12 16 Quantity (service calls per day) >>> Draw only the objects specified in the question 24 ( [
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