Use the Table Below to Answer the Following Questions

question 72

Multiple Choice

Use the table below to answer the following questions.
Table 12.2.5

-Refer to Table 12.2.5. Archibald's Tattoos is a perfectly competitive firm. The firm's total costs are shown in the table. If the price of a tattoo is $12.50, Archibald's economic profit is

• A)-$10.00 an hour.
• B)zero.
• C)$12.50 an hour.
• D)$10.00 an hour.
• E)maximized.

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Definitions:

Cost Driver

A factor that influences or contributes to the expense of certain business operations or activities.

Support Department

Units within an organization that provide essential services or assistance to revenue-generating departments but do not directly generate revenue themselves.

Number Of Miles

A measurement typically used in contexts such as travel distance, transportation costs, or vehicle usage.

Transfer Price

The price at which goods, services, or intellectual property is traded between related companies in different tax jurisdictions or divisions of the same company.