Narrbegin Exhibit 6.10 Long-run average cost Narrend
-If the firm represented in Exhibit 6.10 is operating with a plant whose size corresponds to short-run average total cost curve A, the level of output that would minimise its short-run average total cost is:

Question

Narrbegin Exhibit 6.10 Long-run average cost  Narrend
-If the firm represented in Exhibit 6.10 is operating with a plant whose size corresponds to short-run average total cost curve A, the level of output that would minimise its short-run average total cost is:

Quizplus · Accepted Answer

The minimum point of the short-run average total cost curve is the point where the curve is at its lowest. In Exhibit 6.10, this point is at an output level of 500 units per week.

Narrbegin Exhibit 6.10 Long-Run Average Cost Narrend