Table 11-3 Table 11-3 Shows the Demand and Cost Schedules for a Price

question 240

Multiple Choice

Table 11-3
$\begin{array}{|c|c|c|c|c|}\hline \text { Quantity } & \begin{array}{c}\text { Price } \\\text { (dollars) }\end{array} & \begin{array}{c}\text { Total Revenue } \\\text { (dollars) }\end{array} & \begin{array}{c}\text { Total Variable } \\\text { Cost (dollars) }\end{array} & \begin{array}{c}\text { Total Cost } \\\text { (dollars) }\end{array} \\\hline 0 & \$ 21 & \$ 0 & \$ 0 & \$ 50 \\\hline 1 & 20 & 20 & 16 & 66 \\\hline 2 & 19 & 38 & 31 & 81 \\\hline 3 & 18 & 54 & 45 & 95 \\\hline 4 & 17 & 68 & 59 & 109 \\\hline 5 & 16 & 80 & 75 & 125 \\\hline 6 & 15 & 90 & 93 & 143 \\\hline 7 & 14 & 98 & 112 & 162 \\\hline 8 & 13 & 104 & 140 & 190 \\\hline 9 & 12 & 108 & 180 & 230 \\\hline 10 & 11 & 110 & 230 & 280 \\\hline\end{array}$ Table 11-3 shows the demand and cost schedules for a monopolistically competitive firm.
-Refer to Table 11-3.What are the profit-maximizing/loss-minimizing output level and price?

• A) Q = 0 (firm should not produce)
• B) Q = 3; P = $18
• C) Q = 4; P = $17
• D) Q = 5; P = $16

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Definitions:

Case Study

A research method involving an up-close, in-depth, and detailed examination of a particular case or cases, within a real-world context.

Random Assignment

A process in experimental design that randomly places participants into either a control group or an experimental group to reduce biases.

Operational Definitions

Specific explanations of abstract concepts that a researcher uses to measure those concepts empirically in their study.

Dependent Variable

In research, it is the variable that is tested and measured, expected to change as a result of manipulations to the independent variable.