In the figure, if the firm increases its output from Q, to Q2, it will MC O A. reduce its marginal revenue. ATC B. increase its profit. OC. decrease its profit. O D. increase its marginal revenue. Price and costs (dollars)

Refer to Figure 12-10. If the price is less than $6, the firm should short run and in the long run. OA. shut down; exit the market OB. continue operating, stay in the market and expand OC. continue operating; exit the market OD. exit the market; exit the market in the Revenue and cost (dollars per unit) $20 11 10 6 0 J 200 250 300 ATC AVC MR Quantity

Indicate whether you agree or disagree with the following statement. The marginal cost curve of any profit-maximizing firm is the firm's short-run supply curve. A. Disagree: The MC curve is the demand curve below minimum AVC. O B. Agree: The MC curve is the supply curve below minimum AVC. OC. Disagree: The MC curve is the demand curve above minimum AVC. D. Agree: The MC curve is the supply curve above minimum AVC. Ay quantity 7 units total cost is $194 and at quantity 8 units total cost is $208, what is the marginal cost at 8 unit? How you arrived to your solution? How you define marginal cost? 1 B I U S Ix Write your answer 1 B I U S Ix Write your answer = 글 EEI 1 At 5 units of production, if total variable cost is $75 and total fixed cost is $100, what is value of (a) total costs (b) average cost, (c) average variable cost and (d) average fixed costs? X₂ # 6 1 1 x² Insert Formula x₂ x²² Insert Formula

Q3 O Qi Total revenue O Q2 all quantities beyond Q1 Total cost Where on the graph does the firm earn zero economic profit? Q Q2 Q. Quantity O only Q2 only Q1 O both Q1 and Q3 O only Q3 Where on the graph is profit negative? O all quantities between Q1 and Q3 O only quantities more than Q3 O only quantities less than Q1 quantities less than Q1 or more than Q3