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An electronic device manufacture is planning on the upcoming production. According to the previous production record, the firm paid a total cost of $150,000 to
An electronic device manufacture is planning on the upcoming production. According to the previous production record, the firm paid a total cost of $150,000 to produce 1,000 units and the marginal cost at 1,000th unit is $160. Suppose that the firm is planning on the production of 2,000 units for the upcoming season, assuming the marginal cost stays the same up to 2,000th unit, what is the average total cost to produce 2,000 units in the new production season?
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