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Using the data in the following table, show what happens to the firm's output choice and profit if the fixed cost of production increases from
Using the data in the following table, show what happens to the firm's output choice and profit if the fixed cost of production increases from $100 to $150 to $180, where q is quantity and C is total cost. Assume that the price of output is $58. MC C (FC = $100) C (FC = $150) C (FC = $180) 100 150 180 50 150 200 230 28 178 228 258 20 198 248 278 14 212 262 292 18 230 280 310 TOO . NO UI A W N - O 2 20 250 300 330 22 272 322 352 38 310 360 390 45 355 405 435 55 410 460 490 475 525 555 If the fixed cost of production is $100, then output will be units (enter your response using an integer) and profit will be $. If the fixed cost of production is $150, then output will be units and profit will be $ If the fixed cost of production is $180, then output will be |units and profit will be $. What general conclusions can you reach about the effects of fixed costs on the firm's output choice? The firm's output choice O A. is unaffected by fixed costs because such costs leave profits unchanged. O B. is unaffected by fixed costs because such costs leave marginal costs unchanged. O C. is affected by fixed costs because such costs increase total costs. O D. is affected by fixed costs because such costs decrease price. O E. is unaffected by fixed costs because such costs leave total costs unchanged
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