Graph the average total cost curves for Plant 3 and Plant 4. Explain why these two ATC
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Graph the average total cost curves for Plant 3 and Plant 4. Explain why these two ATC curves differ.
The table shows the production function of Bonnie’s Balloon Rides. Bonnie’s pays $500 a day for each balloon it rents and $25 a day for each balloon operator it hires.
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Labor (workers per day) 10 20 30 40 50 Balloons (number) Plant 1 6 10 13 15 16 1 Output (rides per day) Plant 2 Plant 3 Plant 4 10 15 18 20 21 2 13 18 22 24 25 3 15 20 24 26 27 4
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