Total Output (1,000 lbs.) Total Cost Marginal Marginal Cost Total Revenue Revenue (Price per 1,000 lbs.) 0 $ 50 $0 1 150 $100 300 $300 2 225 75 600 300 3 275 50 900 300 4 375 5 525 1550 100 1,200 300 150 1,500 300 6 725 200 1,800 300 7 1,025 300 2,100 300 8 1,425 400 2,400 300 Source: US Apple Facts 28. Use the information from the table above to determine if "Apples R' Us" is a perfectly competitive firm. Answers: a. The table provides evidence that "Apples R' Us" is a perfectly competitive firm because it shows that the price Sally receives changes no matter how many apples she sells. Therefore, the demand curve for her apples is horizontal. b. The table provides evidence that "Apples R' Us" is a perfectly competitive firm because it shows that the price Sally receives stays the same no matter how many apples she sells. Therefore, the demand curve for her apples is horizontal. c. The table provides evidence that "Apples R' Us" is a perfectly competitive firm because it shows that the price Sally receives stays the same no matter how many apples she sells. Therefore, the demand curve for her apples is vertical. d. The table provides evidence that "Apples R' Us" is a perfectly competitive firm because it shows that the price Sally receives changes no matter how many apples she sells. Therefore, the demand curve for her apples is vertical.