Below Are the Costs for a Pizza Restaurant, the Output

question 39

Multiple Choice

Below are the costs for a pizza restaurant, the output is pizza, in units of (pizza) .
$\begin{array}{ll}\mathrm{P}_{\mathrm{Y}}=\$ 20 / \text { pizza } & \text { TFC }=\$ 10 \\\underline{\mathrm{Y} \text { (pizzas }) } & \underline{\mathrm{TVC}(\$) } \\0 & 0 \\1 & 20 \\2 & 30 \\3 & 35 \\4 & 42 \\5 & 50 \\6 & 70 \\7 & 100\end{array}$
-If the price of pizza is equal to $11/pizza, then the pizza restaurant should:

• A) shut down
• B) stay open, produce 5 pizzas
• C) pay for all of the fixed costs
• D) hire fewer workers

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