The following figure shows the marginal cost curve,average total cost curve,average variable cost curve,and marginal revenue curve for a firm for different levels of output.
Figure 9-3
-At the output level of OC in Figure 9-3,average profit per unit of output is equal to _____.
A)GZ
B)MG
C)ZM
D)GC

Question

The following figure shows the marginal cost curve,average total cost curve,average variable cost curve,and marginal revenue curve for a firm for different levels of output.
Figure 9-3 
-At the output level of OC in Figure 9-3,average profit per unit of output is equal to _____.
A)GZ 
B)MG 
C)ZM 
D)GC

Quizplus · Accepted Answer

Average profit per unit of output is equal to the vertical distance between the average total cost curve and the average revenue curve. At the output level of OC, this distance is equal to GZ.

The Following Figure Shows the Marginal Cost Curve,average Total Cost