Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

A firm's total revenue is $400, average total cost is $4, and its total variable costs are $240. If it is earning normal profit, what

A firm's total revenue is $400, average total cost is $4, and its total variable costs are $240. If it is earning normal profit, what must its fixed costs be?

$60

$100

$156

$160

$640

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Environmental Markets A Property Rights Approach

Authors: Terry L Anderson, Gary D Libecap

1st Edition

0521279658, 9780521279659

More Books

Students also viewed these Economics questions

Question

How does selection differ from recruitment ?

Answered: 1 week ago

Question

An improvement in the exchange of information in negotiations.

Answered: 1 week ago

Question

1. Effort is important.

Answered: 1 week ago