Complete the table below before attempting the next three questions.

Output	TC
0	$2000
100	$2300
200	$2,450
300	$2,700
400	$3,200

Question 9

What is total variable cost when 200 units of output are produced?

a. $450

b. $2,450

c. $300

d. $625

Question 10

At which unit of output (among those in the table) is average total cost minimized, and what is its (minimum) value at that unit?

a. Minimum occurs at 100 units, where ATCATC = $12

b. Minimum occurs at 200 units, where ATCATC = $9.25

c. Minimum occurs at 400 units, where ATCATC = $8

d. Minimum occurs at 300 units, where ATCATC = $6.50

Question 11

Marginal product is maximized (for the data represented in this table) when employees produce the _______ unit of output.

a. 300th

b. 400th

c. 200th

d. 100th

Question12

Your company uses both capital and labor in its production of Horgtoofs, the leading brand of cheese cube slicers. Capital costs $75 per unit and the employee wage is $25 per unit. The last unit of capital added 150 units of output, while the last unit of labor added 75 units of output. Your firm

a. is using the optimal (or output-minimizing) combination of labor and capital.

b. could produce the same level of output at a lower cost by using less labor and more capital.

c. could generate more output at the same cost by using less capital and more labor.

d. should use less of both inputs to optimize output.