Mark's Baseballs produces baseballs. Mark's Baseballs has total fixed costs of $500. Mark's average variable cost is $20, and his average total cost is $25. Mark is currently producing:
A. 5 baseballs.
B. 25 baseballs.
C. 100 baseballs.
D. a number of baseballs that cannot be determined from the information provided.
Answer: C
You might also like to view...
Suppose that Firm ABC currently has a market share of 8 percent. Firm XYZ has a market share of 12 percent. What will happen to the Herfindahl-Hirschman index if the two firms merge? Show your work
What will be an ideal response?
A good that is expected to last less than one year is a
a. durable good b. service c. nondurable good d. short-term good e. perishable good
If potential output for an economy equals $8 billion and actual output equals $7 billion, then this economy's output gap should be expressed as:
A. $1 billion. B. ?12.5 percent. C. 12.5 percent. D. ?$1 billion.
In Figure 5.2, at quantities at Q1,
A. price and total revenue are unrelated. B. total revenue is maximized. C. price elasticity equals 1. D. All of these