Describe what is the average variable cost

Reference no: EM13201222

A profit-maximizing firm in a competitive market is currently producing 100 units of output. It has average revenue so $10, average total cost of $8 and fixed cost of $200.

a. what is the profit?
b. what is the marginal cost?
c. what is its average variable cost?
d. is the efficent scale of the firm more than, less than, or equal to 100 units?

Reference no: EM13201222

Questions Cloud

What are the problems that make fiscal policy difficult : Draw a real expenditures curve on a graph showing a recessionary gap. Explain what happens to real GDP when it is initially to the right of the equilibrium point and why. Indicate two public policies that would be appropriate for addressing this s..

Explain how long would it take the third belt to push : A third one is added. when all three are used, it pushes 950 items in 3 minutes. How long would it take the third belt to push 950 items if it was by itself?

What is the probability that it alternates between states : what is the probability that it alternates between states 1 and 2 for the first four observations (i.e., it occupies state 2, then state 1, then state 2, and finally state 1 again)?

Explain how to arrive at that conclusion : the formula for AFC, AVC, ATC, MC, TR, MR The market price faced by this firm is $6.00 per widget. a. Fill in the formula for AFC, AVC, ATC, MC, TR, MR, and Total Profit b. Fill in the missing values for TFC, TVC, AFC, AVC, ATC, MC, TR, MR,

Describe what is the average variable cost : A profit-maximizing firm in a competitive market is currently producing 100 units of output. It has average revenue so $10, average total cost of $8 and fixed cost of $200. what is the profit.

State a system of equations to model the problem : a) write a system of equations to model this problem b). graph this system and use the graph to estimate how much was invested in each fund?

Explain solving systems of linear equations : Write a paragraph or two comparing and contrasting all methods of solving systems of linear equations with two variables. Explain which method you prefer and why.

Define determination of the relative pirces in the markets : An energy supply firm has the following deman curves for both domestic(m) and commercial(c) consumers of its product: Qm=40-5Pm, Qc=60-10Pc. The total cost function for the firm (C) is described by the following equation: C(Q)=120+0.025Q^2, Where ..

Compute the standard deviation of percentages : Based on this histogram, estimate the standard deviation of the sample of percentages. Carry your intermediate computations to at least four decimal places

User Account

All Pages