For a Firm, Let Total Cost Be $T C ( Q ) = 160 + 10 Q ^ { 2 }$

question 81

Multiple Choice

For a firm, let total cost be $T C ( Q ) = 160 + 10 Q ^ { 2 }$ and marginal cost be $M C ( Q ) = 20 Q$ . What is the minimum efficient scale for this firm?

• A) 0
• B) 2
• C) 4
• D) indeterminate

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Definitions:

Identical Goods

Products that are exactly the same in every aspect, including quality, appearance, and functionality.

Good Faith

An honest intention to act without taking unfair advantage over another party, reflected in business deals and contracts.

Consequential Damages

Compensation for losses that directly and foreseeably result from the breach of a contract or other wrongful act.

Lost Profits

Damages claimed in a lawsuit representing the profits one would have made but for another party's wrongful act.