Scenario 14-3 Suppose a Certain Competitive Firm Is Producing Q=500 Units of Units

question 37

Multiple Choice

Scenario 14-3
Suppose a certain competitive firm is producing Q=500 units of output. The marginal cost of the 500th unit is $17, and the average total cost of producing 500 units is $12. The firm sells its output for $20.
-Refer to Scenario 14-3. At Q=499, the firm's total costs equal

• A)$5,983.
• B)$5,988.
• C)$5,995.
• D)$5,999.

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Definitions:

Scatter Diagram

A graphical representation used to visualize the relationship between two quantitative variables, showing how one variable affects the other.