The table shows output and cost data. Calculate the average total cost, average fixed cost, average variable cost, and marginal cost schedules. If the market price were $500 should the firm shut down in the short run? In the long run?

Transcribed Image Text:

$30 22,775 $23,275 Quantity $0 $5 10 $15 $20 $25 $35 Total Cost $20,000 $20,500 $20,975 $21,425 $21,850 $21,850 $30 22,775 $23,275 Quantity $0 $5 10 $15 $20 $25 $35 Total Cost $20,000 $20,500 $20,975 $21,425 $21,850 $21,850

Answer rating: 100% (QA)

The fixed cost is that which is independent of quantitythus fixed cost is ob... View the full answer