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Firm ABC Is Currently Producing 80 Units of Output at a Total

Question 152

Essay

Firm ABC is currently producing 80 units of output at a total cost of $12,000.Customer B is willing to offer Firm ABC $2,200 to produce 8 more units.Firm ABC's average cost of producing 88 units is $160.Should Firm ABC accept the offer?

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Yes,the total cost of producing 88 units...

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