Ap Economic

2 3 1 5 Quantity Total Cost 0 $100 $110 2 $140 3 $190 $290 $440 $640 $900 OO $1, 230 $1, 640 10 $2, 140 Dave's General Store sells Good X in a perfectly competitive market with a downward-sloping demand curve and an upward-sloping supply curve. The market price is $120 per unit. (a) Calculate the average fixed cost of producing 5 units. Show your work.-$88 (b) Identify the profit-maximizing quantity. Explain using marginal analysis.-|