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Global Corp. sells its output at the market price of $7 per unit. Each plant has the costs shown below: Units of Output Total Cost
Global Corp. sells its output at the market price of $7 per unit.
Each plant has the costs shown below:
Units of Output | Total Cost ($) |
---|---|
0 | 6 |
1 | 8 |
2 | 12 |
3 | 18 |
4 | 26 |
5 | 36 |
6 | 48 |
7 | 62 |
Q1. What is the breakeven quantity? Enter 0 if total profit is always negative.
Q2. What is the breakeven revenue? Enter 0 if total profit is always negative.
Q3. What is the profit at each plant when operating at its optimal output level?
Q4. How many units of output should each plant produce?
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