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A lollipop factory is producing 250 lollipops at the moment, where their average total cost is $0.30 and their average variable cost is $0.20. When
A lollipop factory is producing 250 lollipops at the moment, where their average total cost is $0.30 and their average variable cost is $0.20. When their output level rises to 300 lollipops, their average variable cost is $0.50.
- The firm's total cost of producing 300 lollipops is $______. Round to the nearest dollar. Do not include the $-sign.
- The firm is currently producing 300 lollipops, with marginal cost equal to $0.61. If their goal is to produce the output level associated with the lowest average total cost, the firm should_________their output level. Choose from: increase, decrease, maintain.Type in the word answer exactly as it is spelled in the choices given.
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