d Sketch the profit maximization graph using total revenue and total cost

D sketch the profit maximization graph using total

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d. Sketch the profit maximization graph using total revenue and total cost approach and indicate point of profit maximization (based on the table above) 3. The table below shows the cost and revenue for a perfectly competitive firm. The average revenue is fixed at RM12 per unit. Quantity (unit) Total Variable Cost (TVC) Total Cost (TC) Marginal Cost (MC) Total Revenue (TR) Marginal Revenue (MR) 0 12 1 22 2 28 3 33 4 40 5 52 6 72 a) Complete the table above. b) Determine the profit maximizing output. c) Calculate the amount of profit the firm is earning at equilibrium. State the amount of profit. d) How much is the total fixed cost for the above firm? e) At equilibrium, calculate: i) Average cost (AC) ii) Average variable cost (AVC) f) Sketch a diagram to show the equilibrium position of the firm. TUTORIAL 6 Question 1 October 2016 – Question 3 (Section B) Question 2 March 2016 – Question 3 (Section B) Question 3 September 2015 – Question 3 (Section B) Question 4 October 2016 – Question 3(b) (Section C) March 2016 – Question 3(b) (Section C)
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  • Fall '17
  • zarith
  • Marginal product, Economics of production

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