Measer Enterprises Produces Energy-Efficient Light Bulbs and Operates in a Highly

Measer Enterprises produces energy-efficient light bulbs and operates in a highly competitive market in which the bulbs are sold for $4.50 each. Because of the nature of the production technology, the firm can produce only between 10,000 and 13,000 units per month, in fixed increments of 1,000 units. Measer has the following cost structure: $\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\text { Production and Cost Data }$

$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\quad$$\text { Units Produced }$
$\begin{array}{l|r|r|r|r|}\hline &10,000&11,000&12,000&13,000\\\hline \text { Factory cost. } \\\text { variable }& \$ 37.000 & \$ 40.800 & \$ 44.600 & \$ 48.400 \\\hline \text { Factory cost, fixed } & 9.000 & 9.000 & 9.000 & 9.000 \\\hline \text { Selling cost, variable } & 6.000 & 6.600 & 7.400 & 8.200 \\\hline \text { Administration, fixed } & 6.000 & 6.000 & 6.000 & 6.000 \\\hline \text { Total } & \$ 58.000 & \$ 62.400 & \$ 67.000 & \$ 71.600 \\\hline \text { Average unit cost } & \$ 5.80 & \$ 5.67 & \$ 5.58 & \$ 5.51 \\\hline\end{array}$ Required:
At what output level should the firm operate?