Refer to the Information Provided in Table 8 -Refer to Table 8

question 242

Multiple Choice

Refer to the information provided in Table 8.8 below to answer the following question(s) .
Table 8.8
$$\begin{array} { c c c c c } \begin{array} { c } \text { Number of } \\\text { FruitBaskets }\end{array} &\text { TFC } & \text { TVC } & \text { TC } & \text { MC } \\\hline 0 & \$ 100 & \$ 0 & \$ 100 & - - \\\hline 1 & 100 & 20 & 120 & 20 \\\hline 2 & 100 & 30 & 130 & 10 \\\hline 3 & 100 & 42 & 142 & 12 \\\hline 4 & 100 & 62 & 162 & 20 \\\hline 5 & 100 & 92 & 192 & 30 \\\hline 6 & 100 & 136 & 236 & 44 \\\hline\end{array}$$
-Refer to Table 8.8. Assume that Polynesian Fruit sells fruit baskets in a perfectly competitive market. The market price of a fruit basket is $44. To maximize profits, Polynesian Fruit should sell ________ fruit basket(s) and their profit is ________.

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Definitions:

Amount of Profit

The financial gain made in a transaction or operation, calculated as total revenues minus total costs.

Vertical Axis

The y-axis in a graph or chart, which typically represents the dependent variable in a data set.

Total Cost Curve

A graph that depicts how the total costs of production vary with the level of output.

Economic Profit

A measure of performance that captures the surplus generated from business activities after accounting for both explicit and implicit costs.