Refer to the following:
A manger of a firm with market power faces the marginal revenue product and average revenue product curves shown below. The firm incurs weekly fixed costs of $1,800. The firm employs a single variable input, labor, which costs $600 per worker each week.

-In profit-maximizing (or loss-minimizing) equilibrium, the firm's total variable costs are

Question

Refer to the following:
A manger of a firm with market power faces the marginal revenue product and average revenue product curves shown below. The firm incurs weekly fixed costs of $1,800. The firm employs a single variable input, labor, which costs $600 per worker each week.
 
-In profit-maximizing (or loss-minimizing) equilibrium, the firm's total variable costs are

Quizplus · Accepted Answer

The total variable costs in a profit-maximizing or loss-minimizing equilibrium cannot be determined without additional information about the firm's production level, cost structure, and market conditions.

Refer to the Following