Suppose that you can sell as much of a product (in integer
units) as you like at $60 per unit. Your marginal cost (MC) for
producing the qth unit is given by:
MC=7qMC=7q
This means that each unit costs more to produce than the
previous one (e.g., the first unit costs 7*1, the second unit (by
itself) costs 7*2, etc.).
1.
If fixed costs are $80, what is the optimal integer output
level?
Please specify your answer as an integer.
2.
If fixed costs are $80, what is the profit at the optimal
integer output level?
Please specify your answer as an integer.
3.
If fixed costs are $105, what is the optimal integer output
level?
Please specify your answer as an integer.
4.
If fixed costs are $105, what is the profit at the optimal
integer output level?
Please specify your answer as an integer.
Suppose that you can sell as much of a product (in integer units) as you like at $60 per unit. Your marginal cost (MC) f
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