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The graph presents the costs and revenue for a purely competitive firm, where the market price is equal to $300 per unit of output. This
The graph presents the costs and revenue for a purely competitive firm, where the market price is equal to $300 per unit of output. This firm has a fixed cost equal to $3,600. Use this information to determine the profit?maximizing output and profit for thisfirm.
Cost and revenue $2,400 2,200 Marginal cost 2,000 1,800 1,600 Average total cost 1,400 1,200 1,000 800 600 Average variable cost 400 200 Marginal revenue 0 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 Unit of outputStep by Step Solution
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