The long-run total cost schedule of a perfectly competitive firm that produces blueberries is as follows:
TABLE 8-2

-Refer to Table 8-2. What is the average total cost of producing 6000 kilograms of blueberries in the long run?

Question

The long-run total cost schedule of a perfectly competitive firm that produces blueberries is as follows:
TABLE 8-2
 
-Refer to Table 8-2. What is the average total cost of producing 6000 kilograms of blueberries in the long run?

Quizplus · Accepted Answer

To find the average total cost of producing 6000 kilograms of blueberries, we need to first find the total cost of producing 6000 kilograms. From the table, we see that the total cost of producing 6000 kilograms is $15,000. To find the average total cost, we divide the total cost by the quantity produced. Therefore, the average total cost of producing 6000 kilograms of blueberries is $2.50 ($15,000/6000). The best choice is C, which is the only option that matches this calculation.

The Long-Run Total Cost Schedule of a Perfectly Competitive Firm