If at Optimum Output of 1,000 Units, the Firm Is

question 117

Multiple Choice

If at optimum output of 1,000 units, the firm is incurring average variable cost per unit of $3, average fixed cost per unit of $1.50, and selling its output at $7 per unit, total profit is

• A)$7,000.
• B)$2,500.
• C)$1,500.
• D)$250.

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Definitions:

Hybrid Form

A blend or combination of two different elements, forms, or entities.

State Statutes

Laws that have been enacted by the legislative bodies of individual states.

Operating Agreement

A contract among the members of a Limited Liability Company (LLC) that outlines the business's financial and functional decisions including provisions for its governance and operation.

Buyout Price

The predetermined amount of money required to purchase all or a specified percentage of ownership in a company or asset.