The Following Table Gives the Average Cost of Production for Three

question 41

Multiple Choice

The following table gives the average cost of production for three different categories of firms producing the same product.

$$\begin{array} { | c | c | c | c | } \hline \begin{array} { c } \text { Type of } \\\text { firme }\end{array} & \begin{array} { c } \text { No. of } \\\text { firms }\end{array} & \begin{array} { c } \text { Awerane } \\\text { sostper } \\\text { unit }\end{array} & \begin{array} { c } \text { Equilibrium } \\\text { output }\end{array} \\\hline \hline \text { A } & 350 & \$ 3 & 10 \text { units } \\\text { B } & 400 & \$ 5 & 10 \text { units } \\\text { C } & 550 & \$ 10 & 10 \text { units } \\\hline\end{array}$$
-Refer to Table .Suppose initially 3,200 units are demanded at a price of $3 per unit.What will be the quantity of output supplied by each type of firm in the market?

• A)Type A and Type B will jointly supply 3,000 units while Type C will supply 200 units.
• B)Type A firms will supply 3,000 units, while the remaining 200 units will be supplied by Type B.
• C)Type A firms will supply the entire 3,200 units, while Type B and Type C firms will not enter the market.
• D)Type A and Type B will each supply 1,600 units, Type C will not enter the market.

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Specialized hospital departments that provide immediate treatment to patients with acute illnesses or injuries.

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The amount of time it takes to react to a stimulus or request.

Optimization Model

An optimization model is a mathematical framework designed to find the most efficient solution to a problem from a set of possible solutions.

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Pertains to processes or systems where no randomness is involved in the development of future states, implying exact predictability given initial conditions.