Refer to the following scenario to answer the following questions.
Five fishermen live in a village and have no other employment or income-earning possibilities besides fishing.They each own a boat that is suitable for fishing but does not have any resale value.Fish are worth $5 per pound,and the marginal cost of operating the boat is $500 per month.They all fish a river next to the village.According to the following schedule,they have determined that when there are more of them out on the river fishing,they each catch fewer fish per month.

-If four boats operate,then each boat will make a profit of

Question

Refer to the following scenario to answer the following questions.
Five fishermen live in a village and have no other employment or income-earning possibilities besides fishing.They each own a boat that is suitable for fishing but does not have any resale value.Fish are worth $5 per pound,and the marginal cost of operating the boat is $500 per month.They all fish a river next to the village.According to the following schedule,they have determined that when there are more of them out on the river fishing,they each catch fewer fish per month.
 
-If four boats operate,then each boat will make a profit of

Quizplus · Accepted Answer

From the schedule, we can see that when there are four boats operating, each boat catches 200 pounds of fish per month. Therefore, the total catch for the village is 800 pounds, which gives a total revenue of $4,000 ($5 per pound). The total cost for all the boats is $2,000 ($500 per boat). Hence, the total profit for the village is $2,000. Since there are four boats operating, the profit per boat is $500.

Refer to the Following Scenario to Answer the Following Questions