Use the Following to Answer Question

question 241

Multiple Choice

Use the following to answer question:
-(Table: Variable Costs for Lawns) Use Table: Variable Costs for Lawns.During the summer,Alex runs a lawn-mowing service in a perfectly competitive industry.Assume that costs are constant in each interval;so,for example,the marginal cost of mowing each of the lawns from 1 through 10 is $10.Also assume that he can only mow the quantities of lawn given in the table (and not numbers in between) .His only fixed cost is $1,000 for the mower.His variable costs include fuel,his time,and mower parts.What is Alex's break-even price?

• A)$100.00
• B)$10.00
• C)$50.00
• D)$27.50

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Definitions:

Anticipation Of Delivery

Expectation or preparation for the receipt of goods or items that have been ordered, prior to their actual arrival.

Range Free

Often associated with farming and food production, indicating animals that are raised without being confined in tight spaces and have some degree of outdoor access.

Accord

A formal agreement between two or more parties, especially countries or organizations.

Satisfaction

The satisfaction or appeasement of a want, necessity, or craving.