4. Your company sells Beyonce concert DVDs. Total fixed costs for your operation are $10,000 a...

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4. Your company sells Beyonce concert DVDs. Total fixed costs for your operation are $10,000 a year. The variable costs are:

If the firms fixed costs decreased from $10,000 to $8,000, would the firm shut down in the b. short run?

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Answer 1

Answer #1

TFC=10,000 rc=800-02 Penie -40 tax = $500 a) Profit is max when MR=me. Mc-so- 20 = 40 rce sols) - 5² = 200-125=125 Revenue =

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