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If the first copy cost of a music video is $223,000 and the marginal cost is $0, then how many copies should the firm sell in

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Answer #1

First copy cost of music video is $223,000

MC=0

P=$10

Break even condition

TR=TC

PQ=FC+VC

10Q=223,000+MC*Q

10Q=223,000+0*0

10Q=223,000

Q=223,000/10

Q=22,300

Break even quantity is 22,300 units.

Hence option C is the correct answer.

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