Short Run Data for Sullivan's Salmon Farm
-What is the short run total cost for Sullivan's Salmon Farm?
A) 3500, 3700, 3940, 4320, 4950, 5460
B) 3700, 3900, 4140, 4520, 4950, 5460
C) 3700, 3900, 4440, 5080, 5700, 6160
D) 3900, 4240, 4640, 5080, 5550, 5900
E) 3900, 4140, 4520, 5080, 5700, 5900

Question

Short Run Data for Sullivan's Salmon Farm 
-What is the short run total cost for Sullivan's Salmon Farm?
A) 3500, 3700, 3940, 4320, 4950, 5460 
B) 3700, 3900, 4140, 4520, 4950, 5460 
C) 3700, 3900, 4440, 5080, 5700, 6160 
D) 3900, 4240, 4640, 5080, 5550, 5900 
E) 3900, 4140, 4520, 5080, 5700, 5900

Quizplus · Accepted Answer

By looking at the table, we can see that short run total cost is equal to variable cost plus fixed cost. Therefore, we need to add the variable and fixed costs for each level of output. When we do this, we find that the correct answer is B.