Assume a firm is producing 800 units of output,and it sells each unit for $6.Its average total cost is $4.Its profit is

Name: Assume a firm is producing 800 units of output,and it sells each unit for $6.Its average total cost is $4.Its profit is
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Profit = Total revenue - Total costTotal revenue = Price per unit * Number of units soldTotal revenue = $6 * 800 = $4,800Total cost = Average total cost * Number of units producedTotal cost = $4 * 800 = $3,200Profit = $4,800 - $3,200 = $1,600

Assume a Firm Is Producing 800 Units of Output,and It