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SMC ATC Price and cost [dollars] 0 6,000 8,000 Quantity The above graph is for a perfectly competitive rm. The curve labelled SMC is
SMC ATC Price and cost [dollars] 0 6,000 8,000 Quantity The above graph is for a perfectly competitive rm. The curve labelled \"SMC \" is the Marginal Cost curve, D = Demand and Marginal Revenue curve, ATC = average total cost curve, AVC is the average variable cost curve. (a) What is the prot maximizing price and output? (b) At the prot maximizing price and output what is the average total cost and average variable cost and average xed cost? (c) At the prot maximizing price and output what is the amount of prot earned by this rm? (d) At what price would the rm earn zero prot (or loss)
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