The Table Below Shows Output,marginal Cost,and Average Variable Cost for the Production

question 96

Multiple Choice

The table below shows output,marginal cost,and average variable cost for the production of pairs of shoes.All costs are in dollars.
TABLE 7-6
-Refer to Table 7-6.Suppose there are no fixed costs.The firm reaches it's capacity level of output when its output is equal to ________ units.

• A)50
• B)110
• C)150
• D)190
• E)210

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Definitions:

Equilibrium Quantity

The supply and demand for goods or services at the price point where equilibrium is achieved in a market.

Price

The measure of money anticipated, obligatory, or tendered in payment towards an item.

Equilibrium Price

The cost at which the amount of a product or service that consumers want to buy matches the amount that producers are willing to sell.

Equilibrium Quantity

The quantity of goods or services supplied and demanded at the equilibrium price, where market supply and demand balance.