Consider the following table:

$\begin{array}{|l|l|}
\hline \text { Input Quantity } & \text { Real Output } \
\hline 100 & 200 \
\hline 150 & 300 \
\hline 200 & 400 \
\hline
\end{array}$
-If the price of each input is $5,the per-unit cost of production in this economy is:

Question

Consider the following table:

$\begin{array}{|l|l|}
\hline \text { Input Quantity } & \text { Real Output } \
\hline 100 & 200 \
\hline 150 & 300 \
\hline 200 & 400 \
\hline
\end{array}$
-If the price of each input is $5,the per-unit cost of production in this economy is:

Quizplus · Accepted Answer

The per-unit cost of production is calculated by dividing the total cost of inputs by the total output. For any given row in the table, the total cost of inputs is the input quantity multiplied by the price of each input ($5). For the first row, for example, the total cost is $100 \times $5 = $500$. The real output for that row is 200 units. Thus, the per-unit cost of production is $$500 / 200 = $2.50$. This calculation is consistent across all rows, indicating a constant per-unit cost of production of $2.50.

Consider the Following Table -If the Price of Each Input Is $5,the Per-Unit Cost