Posted by **gopak** on Friday, November 18, 2011 at 1:12am.

# You produce shoes. Currently you produce 4 pairs of shoes at a total cost of %40.

a)what is your average total cost (ATC)

b)Suppose you could produce one more( fifth)pair at a marginal cost of $20. If you do produce that fifth pair of shoe, what will your average total cost be?Has your average total cost increased or decrease d?why?

c)suppose instead that you could produce one more(the fifth) a pair at a marginal cost of $20. If you do produce that fifth pair ofshoe, what will your average total cost be?Has your average total cost increases or decreases?Why?

## Answer this Question

## Related Questions

- algebra - URGENT! How do you calculate for marginal cost against fixed cost. E.g...
- economics - A monopolist faces an upward-sloping marginal cost curve. Its ...
- Economics/Math - In a perfectly competitive industry, the market price is $25. A...
- economics - Teddy Bear, Inc., a rapidly growing manufacturer of high fashion ...
- Math - Mr. Logan purchased $390 in clothing (excluding sales tax). He bought 5 ...
- Economics - 5. A firm's marginal cost of production is constant at $5 per unit, ...
- Economics - 10. An industry currently has 100 firms, all of which have fixed ...
- Economics - Suppose that a firm is currently employing 30 workers, the only ...
- Economics - Suppose that a firm is currently employing 30 workers, the only ...
- Economics - Suppose Honda's total cost of producing 4 cars is $225,000 and its ...

More Related Questions