Table 13-10
Teacher's Helper Is a Small Company That Has

question 27

Multiple Choice

Table 13-10
Teacher's Helper is a small company that has a subcontract to produce instructional materials for disabled children in public school districts. The owner rents several small rooms in an office building in the suburbs for $600 a month and has leased computer equipment that costs $480 a month.
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$$\begin{array} { | c | c | c | c | c | c | c | c | } \hline \begin{array} { c } \text { Output } \\\text { (Instructional } \\\text { modules per } \\\text { month) }\end{array} & \begin{array} { c } \text { Fixed } \\\text { Cost } \\\text { (Dollars) }\end{array} & \begin{array} { c } \text { Variable } \\\text { Cost } \\\text { (Dollars) }\end{array} & \begin{array} { c } \text { Total } \\\text { Cost } \\\text { (Dollars) }\end{array} & \begin{array} { c } \text { Marginal } \\\text { Cost } \\\text { (Dollars) }\end{array} & \begin{array} { c } \text { Average } \\\text { Fixed Cost } \\\text { (Dollars } \\\text { per unit) }\end{array} & \begin{array} { c } \text { Average } \\\text { Variable } \\\text { Cost } \\\text { (Dollars per } \\\text { unit) }\end{array} & \begin{array} { c } \text { Average } \\\text { Total Cost } \\\text { (Dollars } \\\text { per unit) }\end{array} \\\hline 0 & 1,080 & & & & & & \\\hline 1 & 1,080 & 400 & 1480 & 400 & & & \\\hline 2 & & & & 450 & & & 965\\\hline 3 & & 1,350 & 2,430 & & & & \\\hline 4 & & 1,900 & & & & 475& \\\hline 5 & & 2,500 & & & 216 & & \\\hline 6 & & & 4,280 & 700 & & & \\\hline 7 & & 4,100 & & & & & \\\hline 8 & & 5,400 & & &135 & & \\\hline 9 & & 7,300 & & & & & \\\hline 10 & & & 10,880 & & & 980 & \\\hline\end{array}$$ ​
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-Refer to Table 13-10. How many instructional modules are produced when marginal cost is $1,300?

• A)4
• B)5
• C)7
• D)8

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Definitions:

Overall Economic Conditions

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Chiaroscuro

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A famous Renaissance painting by Raphael, depicting the Virgin Mary with Jesus and John the Baptist as children.