In the graph below,the price of capital is $500 per unit.Between 30,000 and 50,000 units of output,how much does each additional unit of output add to long-run total cost?
A)$1.50
B)$2.45
C)$300
D)$30,000
E)none of the above

Question

In the graph below,the price of capital is $500 per unit.Between 30,000 and 50,000 units of output,how much does each additional unit of output add to long-run total cost?
A)$1.50 
B)$2.45 
C)$300 
D)$30,000 
E)none of the above

Quizplus · Accepted Answer

Between 30,000 and 50,000 units of output, the slope of the long-run total cost curve is approximately $1.50 per unit of output. This means that each additional unit of output increases the long-run total cost by approximately $1.50.

In the Graph Below,the Price of Capital Is $500 Per