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Problem: Using the data in the following table, show what happens to the firm's output choice and profit if the fixed cost of production increases from $100 to $150 to $180, where q is quantity and C is total cost. Assume that the price of output is $54.
q
MC
C(FC = $100)
C(FC = $150)
C(FC = $180)
0
-
100
150
180
1
50
200
230
2
28
178
228
258
3
20
198
248
278
4
14
212
262
292
5
18
280
310
6
250
300
330
7
22
272
322
352
8
38
360
390
9
45
355
405
435
10
55
410
460
490
11
65
475
525
555
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