View the step-by-step solution to:

Labor Output Total Cost (TC) Marginal Cost (MC) Average Cost Total Revenue P=125 0 0 $ 3,000.00 $ - 1 10 $ 4,250.00 $ 125.00 $ 425.00 $ 1,250.00 2 25...

Labor Output Total Cost
(TC) Marginal
Cost (MC) Average
Cost Total Revenue
P=125
0 0 $ 3,000.00 $ -
1 10 $ 4,250.00 $ 125.00 $ 425.00 $ 1,250.00
2 25 $ 5,500.00 $ 83.33 $ 220.00 $ 3,125.00
3 45 $ 6,750.00 $ 62.50 $ 150.00 $ 5,625.00
4 70 $ 8,000.00 $ 50.00 $ 114.29 $ 8,750.00
5 95 $ 9,250.00 $ 50.00 $ 97.37 $11,875.00
6 115 $10,500.00 $ 62.50 $ 91.30 $14,375.00
7 133 $11,750.00 $ 69.44 $ 88.35 $16,625.00
8 149 $13,000.00 $ 78.13 $ 87.25 $18,625.00
9 164 $14,250.00 $ 83.33 $ 86.89 $20,500.00
10 174 $15,500.00 $ 125.00 $ 89.08 $21,750.00
11 182 $16,750.00 $ 156.25 $ 92.03 $22,750.00
12 188 $18,000.00 $ 208.33 $ 95.74 $23,500.00
13 192 $19,250.00 $ 312.50 $ 100.26 $24,000.00

Pearl owns a company that produces Super Toys. The table above shows that Pearls’ Fixed Cost is $3000.00. Pearl pays $1,250 for each unit of labor. Marginal and Average Costs of production are show n in the table. If Pearl conducts business in a Perfectly Competitive Market where the price of each toy sold is $125.00:

1. What is Pearl’s Marginal Revenue for each additional unit of Super Toy sold?
2. What is the Profit Maximizing number of Toys that Pearl should produce?
3. What is the Total Profit at this Profit Maximizing number of toys?
Sign up to view the entire interaction

Top Answer

Hi Please find the... View the full answer

8420750.xls

If you want the formulas and any calculations, select the corresponding cell and press F2(Function Key on key board),
It will show all calculations and formulas Automatically
Question:
MEDGAR EVERS...

Sign up to view the full answer

Why Join Course Hero?

Course Hero has all the homework and study help you need to succeed! We’ve got course-specific notes, study guides, and practice tests along with expert tutors.

-

Educational Resources
  • -

    Study Documents

    Find the best study resources around, tagged to your specific courses. Share your own to gain free Course Hero access.

    Browse Documents
  • -

    Question & Answers

    Get one-on-one homework help from our expert tutors—available online 24/7. Ask your own questions or browse existing Q&A threads. Satisfaction guaranteed!

    Ask a Question
Ask a homework question - tutors are online