Exhibit 10-9
-If the firm in Exhibit 10-9 produces 100 units of output, it will have
A) both d and e
B) variable cost of slightly less than $800
C) fixed cost of slightly more than $700
D) total cost of $1,500
E) total revenue of $800

Question

Exhibit 10-9 
-If the firm in Exhibit 10-9 produces 100 units of output, it will have
A) both d and e 
B) variable cost of slightly less than $800 
C) fixed cost of slightly more than $700 
D) total cost of $1,500 
E) total revenue of $800

Quizplus · Accepted Answer

The firm will have both a variable cost of slightly less than $800 and a fixed cost of slightly more than $700, as these are the components that add up to the total cost of $1,500 when producing 100 units.

Exhibit 10-9 -If the Firm in Exhibit 10-9 Produces 100 Units of 100