Main content

Short-run production costs

The table below shows a firm’s marginal cost left parenthesis, M, C, right parenthesis, total variable cost left parenthesis, T, V, C, right parenthesis, and total fixed cost left parenthesis, T, F, C, right parenthesis.

Q	M, C	T, V, C	T, F, C
0	--	dollar sign, 0	dollar sign, 100
1	dollar sign, 182	dollar sign, 182	dollar sign, 100
2	dollar sign, 158	dollar sign, 340	dollar sign, 100
3	dollar sign, 152	dollar sign, 492	dollar sign, 100
4	dollar sign, 164	dollar sign, 656	dollar sign, 100
5	dollar sign, 194	dollar sign, 850	dollar sign, 100
6	dollar sign, 242	dollar sign, 1092	dollar sign, 100
7	dollar sign, 308	dollar sign, 1400	dollar sign, 100
8	dollar sign, 392	dollar sign, 1792	dollar sign, 100

Over what range of quantities does this firm experience increasing marginal product?

(Choice A)
up to the 3, start superscript, start text, r, d, end text, end superscript unit of output
(Choice B)
between 6 and 8 units of output
(Choice C)
over all of these quantities
(Choice D)
over none of these quantities
(Choice E)
between 4 and 5 units of output

Microeconomics

Course: Microeconomics > Unit 6

Short-run production costs

Microeconomics

Course: Microeconomics > Unit 6

Problem