The Table Below Shows The Weekly Marginal Cost Mc And Average Total Cost Atc For Smitten A Perfectly Competitive Fi 1 (42.1 KiB) Viewed 31 times
The Table Below Shows The Weekly Marginal Cost Mc And Average Total Cost Atc For Smitten A Perfectly Competitive Fi 2 (28.34 KiB) Viewed 31 times
The table below shows the weekly marginal cost (MC) and average total cost (ATC) for Smitten, a perfectly competitive firm that produces children's mittens in a competitive market. Smitten's Production Costs Quantity (pairs of Margisal Cost mittens) (dollars) 20 $1.60 25 2.00 30 2.45 35 3.55 40 4.00 45 5.50 50 6.00 55 Average Total Cost (dollars) $1 1.2 1.41 1.71 2. 2.39 2.75 3.27 8.50 Instructions: In porta, enter your answer as a whole number in parts b, c, and d, round your answers to two decimal places. a. If the market price of children's mittens is $6.00 per pair, how many pairs of children's mittens should Smiten produce per week to maximize its profits? pairs of mittens b. When the market price is $6.00, what is Smitten's average total cost at the profit-maximizing quantity of children's mittens? c. What are Smitter's weekly profits If the market price is $6.00 per pair and the firm produces the profit-maximizing quantity of mittens? $
b. When the market price is $6.00, what is Smitten's average total cost at the profit-maximizing quantity of children's mistens? c. What are Smilten's weekly profits if the market price is $6.00 per pair and the firm produces the profit-maximizing quantity of mittens? es $ d. What are Smitten's weekly profits if the market price is $5.50 per pair and the firm produces the profit-maximizing quantity of mittens? e. The price at which Smitten would earn a normal profit is where O marginal cost equals average cost. Omarginal cost equals marginal revenue at the minimum of marginal cost. O average cost equals average revenue at the minimum of average cost O marginal cost equals average cost at the minimum of average cost.
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