Question

Help Save & Exit Submit A perfectly competitive firm finds that the market price for its product is $20. It has a fixed cost of $100 and a variable cost of $10 per unit for the first 50 units and then $25 per unit for all successive units. Instructions: Enter your answers as whole numbers a. Does price equal or exceed average variable cost for the first 50 units? (ICick to select) What about for the first 100 units?Cck to select b. What is the marginal cost per unit for the first 50 units? $ per unit. What is the marginal cost for units 51 and higher? $ per unit c. For each of the first 50 units, does MR exceed MC? Ciek to select) What about for units 51 and higher? rCick to select) d. What output level will yield the largest possible profit for this perfectly competitive firm?| units.

Answer 1

#t Narkit price P $20. fiyed rost $100 amd Variable (ast - $10 50 25 50 vaiable cat - $10, 9250 $25, 75o P 20 AVC 10 Price exceed amage voevable cast far tho rst 50 unih AGhL 50 unh o far et iret 100 unb d VC 25 Pニ20 ム AVC = P Z K AV C =410 25) 50 So, MC far 51Mh 425 unit 1=

Ra As pufeetly carpehhu market to, P- MR La PBired fer first 50 un'b P MR 20 MC JO So, MR exceeds NC far 51 unb emd abaw MA deu nat exceed PAMR220L MC 25 MC so, dar paint 50 unh unit and Jut uplo at 51 Mh MAY MC MA LMC So Ne cnt off paint is 50 unth af autpnt uill yild Hh langert Pani ble prafet ar pufeety ampah tnu birm, 50 unib and