Mikail's perfectly competitive camera memory card-producing factory is making positive economic profits. If the price of memory cards is $9, if Mikail's output is 3,000 cards a month, and if his monthly average total cost is $7, what are his monthly profits?

Question

Quizplus · Accepted Answer

Mikail's monthly profits can be calculated by multiplying the difference between the price and the average total cost by the quantity sold: ($9 - $7) * 3,000 = $6,000.

Mikail's Perfectly Competitive Camera Memory Card-Producing Factory Is Making Positive