Question
Question 6 (Marks 12) Refer to the information provided in the Table below to answer the following questions. Units TFC TVC TC MC 0 $50
Question 6 (Marks 12)
Refer to the information provided in the Table below to answer the following questions.
Units
TFC
TVC
TC
MC
0
$50
$0
$50
-
1
50
10
60
10
2
50
15
65
5
3
50
21
71
6
4
50
31
81
10
5
50
64
96
15
6
50
68
118
22
Assume Maria sells tomato baskets in a perfectly competitive market. The market price of a basket is $5. To maximize profits, how much quantity of tomato basket Maria should sell and how much she will earn?
Answer:
The firm should continue or shout down the production of tomato in short run when price is $5. Explain.
Answer:
If market price of a tomato basket is $15. To maximize profits, how much quantity of tomato basket Maria should sell how much will be her earning?
Answer:
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Marketing
Authors: John McMurry, Robert Fay
13th Edition
125973806X, 9781259738067
