15. A competitive firm sells its output for $20 per unit. The 50th unit of outpu

Question

15. A competitive firm sells its output for $20 per unit. The 50th unit of output produced has a marginal cost of $22. If the firm sells the 50th unit, it will experience a change in profit equal to Please enter a whole number, with no decimal point. 16. Assume a firm is producing 800 units of output and that it sells each unit for s6.Its average total cost is $4. What is its profit? Please enter a whole number, with no decimal point. 7. When accounting profit is zero, economic profit is also zero if resources used in the business have no alternative use O True False 18. Ifnew entrants into a competitive market have higher costs than existing firms, the market price will be rising O True False

Explanation / Answer

Ans

20-22=-2 I. E loss of 2

2 =revenue-cost=800(6)-800(4)=32 600

3 True. Economic profit is zero when accounting profit is zero

4 false because quantity increase will depress price snyhow

Related Questions

Navigate

• Browse (All)
• Browse 1
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.