Below are some cost data pertaining to Plant 1,which has total fixed costs of $1,000.Suppose that Plant 2 is exactly twice the size of Plant 1 while using (at economic capacity)twice the amount of labour and materials,and that it produces exactly twice the output.Further,assume that the prices of these inputs do not change.

-Refer to the information above to answer this question.What is the output produced if the total cost in Plant 2 is $14,000?
A)10.
B)20.
C)30.
D)40.
E)80.

Question

Below are some cost data pertaining to Plant 1,which has total fixed costs of $1,000.Suppose that Plant 2 is exactly twice the size of Plant 1 while using (at economic capacity)twice the amount of labour and materials,and that it produces exactly twice the output.Further,assume that the prices of these inputs do not change.
 
-Refer to the information above to answer this question.What is the output produced if the total cost in Plant 2 is $14,000?
A)10. 
B)20. 
C)30. 
D)40. 
E)80.

Quizplus · Accepted Answer

Without the specific information provided in the "information above" mentioned in the question, it's impossible to accurately determine the correct answer. However, the choice of 80 (E) as the correct answer is arbitrary and not based on any provided data or context.

Below Are Some Cost Data Pertaining to Plant 1,which Has